Avocado was a promising venture to most farmers in kenya and africa. but the venture may be viable for only a short while. most companies target EU market and has been the major importer of most african,mexican and peru avocados. this year there was an increase in supply and prices reached levels which has never been before (https://www.freshplaza.com/article/9018652/avocado-prices-recovering-again/) and most exporters stopped exporting the fruit because the retail price in EU markets was the FOB price in kenya. this makes it impossible to export the product.
In kenya all counties and politicians are using avocados as a political tool putting more millions into the venture without any sustainable market. All are giving the common old tale of "value addition" yet they have no plans or even any idea of avocado value addition and market demands or viability. their tenure will be done when the fruits are ready so they will not have any blame to the failure of farmers to sell the crop.
Non profit organisations are also using the same avocado wind to solicit funds on the hope that the future of avocado is millions of money.
Every one wants to reap on this wind and people are doing their math that many people need hass/fuerte seedlings and so many uncertified nurseries are everywhere, hass was ksh 250 per seedling. Many people are now producing the seedlings which are substandard and with time everyone will be producing and no where to sell the graph is already closer there and the price of hass is now ksh 80 or less with time it will reach a point where you will be given for free.
All these methods will lead to production of a lot of avocados and business principles are clear the EU market is no longer a market to depend on(french beans,chili,herbs and flower farmers are crying) https://www.nation.co.ke/business/Boom-for-Kenyan-avocado-farmers/996-4666686-cur4dt/index.html so there will be a lot of supply and with alot of supply than demand, price will go down. kenya is already over producing avocados for its population the local avocados are rotting in the villages the old tale of value addition has not worked and hass value addition tale might not work as well. history speaks for its self. and kenyans at any point will not be able to eat all the hass avocaods and the kienyeji avocaods.
The hopes that there are new emerging markets like china and south africa. Does not give hope to the local farmers but to the exporters who will be enjoying from the over supply so they fix the price on how they want. Thats the time when you will sell 10 avocados for ksh 5 or they rot in your farm because your neighbour is willing to sell 20 avocados for the same. mango farmers can attest to this kind of market forces. after they were told to plant mangoes during moi era to this era its only one small value addition factory in the entire eastern region.
Every business or venture must go through a gradual natural process and not a boom if avocado had not been used as a political stepping stone its future was great.but there is still hopes to the farmers if only they work in groups and process the fruits in the own or export directly to maximize the profits and forget involving political interests in the sector.
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contact nicklykipkorir@gmail.com
You are a profit of doom without respect for research or facts
ReplyDeleteYou should be encouraging value addition but thanks for highlighting the glitch.
ReplyDeleteIt is time for us Kenyans to find ways to make Avocado crop a highly sort after ingredient for pharmaceutical, curative or even a form of bio fuel for the future. It is not time to give up but rather to fold our sleeves and find solutions.
ReplyDeleteWhat are you doing to arrest the situation
ReplyDeleteThis comment has been removed by the author.
DeleteThank you for the insightful article Mr KipKorir.
ReplyDeleteIndeed We have many new markets that have come onboard just this Year a Russian Client wanted a full plane of Kenyan Avocados.
China, Korea have also come onboard the only challenge I see is the Chinese are opening export companies to export to their own countries ,Govt should put in place the right policies to ensure they can only do it with Kenyan citizen that way a big chunk of the money also stays in Kenya.
The US Market is so big. They want our avocado oil. Again we must equip our farmers with the right value addition technology as you rightfully put it.
Recently A Netherlands client made a comment and said. Kenyan Avocados and pineapples are a drop in the ocean, they are a big offtaker so they think our production has not rallied the right numbers.
I say we grow our fruits because of our tropical climate but be very systemic and proactive in sourcing clients for our farmers .
This calls for a high level of exposure for our farmerF both in knowledge and exposure to international markets.
Let's have more international shows for our fruits Grains oilseeds flowers in the Kenyan soil
Blessings.
Eunice Mutua
The writer is just politicizing the matter. We can never meet the global demand as far as ovacados are concerned. We only require support from the government on opening new markets and on value addition.
ReplyDeleteIt is good to be informative Kipkorir and personally I appreciate the insights you have aharee based on your judgement.
ReplyDeleteOne thing that is inevitable is that everything revolves around nature and whatever is required by it shall benefit from the same.
Avocado uses are many and has majorly increased in many ways both locally and at the international market. I assure you that no one will want to produce what no one will want to consume and this simply means that whatever Eunice has shared with you remains the truth. I can only emphasize that, the avocado market is far much bigger than you can imagine. In fact, we have low supply, Kenya is just a dot in the avocado market.
I can encourage you to believe in the avocado market a d embrace its production.
But for your information, always produce what you have market for.
Thank you
Yeah it's fine to invest in it, cause it is source of food, and it contains slot of vitamins and also use for many purposes that's costemic for both hair and skin (natural body skin) but biggest percentage is on nutrition for human
ReplyDeleteThis article is not based on facts and numbers. It's too early to even think that we are about to flood the international market with avocado. The new emerging markets (China, 14 billion people) present greater opportunities. However, value addition is an opportunity that we must explore too.
ReplyDeleteKipkorir you are right.
ReplyDeleteOur Kenyan farmers suffer not because of their production efforts but because of lacking foresight. Days are gone when yiu would farm and in miraculous ways your farm produce would reach the consumer.
Put it clear, real and straight, for any farmer to suceed in today's competitive world, they have to come to terms that its time we work our logarithm backwards not forward... visualize the end or intermediate consumers you target. Get in touch with them, enter into production and sale binding contracts.
Lakini my friend hii maneno wakenya wakiskia avocado tunakimbia, juzi ilikua macadamia, kahawa not forgeting before June next year itakua maneno ya herbs..yet the former crops have not materialized yet.
Livestock rearing is no exception; case in point, the local average cost of producing a hen's egg is 6-9Kshs, but unapata importer analeta the same egg @6Ksh. So do we all import and do away with this farming.
I wonder what these we call representatives do in bunge. We need a well formulated, elaborate, comprehensive Policy Change and Implementation particularly one redefining our export-import balance. One that will zone farming, introduce databases for all farmers and what they farm, and also one that will ensure Guranteed Minimum Returns (GMR) for farm produce.
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ReplyDeleteIts hard for people to accept the truth and you have nailed it.EU has even strict policies with size and quality.
ReplyDeleteAvocados is a scam
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