Farmers sign market deal with 3 firms

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The shilling tested the psychologically important 88 per US dollar level in early May 27, 2014 trading, turning market attention to the central bank, which a day earlier said it was ready to defend the under-pressure currency against volatility. Photo/FILE 

oney Markets

By JAMES NGUNJIRI and MARTIN MWAURA

Three companies have signed marketing contracts with various avocado farmers in Murang’a County in a move that will cut out brokers, seeing farmers earn more.

Kakuzi, Olivado and Vageblow last week signed contracts with various farmers in a partnership set to run for the next five years.

 

Farmers have been selling a single fruit at Sh1.50 but under the arrangement each fruit will be bought at Sh8.

The county executive member in charge of agro-marketing, trade and investment Edward Muiruri said linking farmers directly to the market would prevent exploitation by middlemen.

“We have noted with concern that the brokers make millions but farmers have not been getting good returns from their produce,” he said.

“We are encouraging farmers to let their avocados mature, and we are also training them on post-harvest handling.”

The county will shoulder transport costs to the buyers.