Kenya could lease land to foreign investors in a bid to increase coffee production that has been on the decline over the years.
This
option will be among topics set for discussion during the 12th African
fine coffees conference scheduled for February in Nairobi.
“During
the conference, Kenya will put its case on coffee production and
options will be explored on how this can be improved. Kenya is the only
country in the region where coffee production has been decreasing. The
possibility of international producers leasing land for coffee
production is among those to be discussed,” African Fine Coffees
Association executive director Samuel Kamau said.
The event will be attended by global players who include farmers, dealers, roasters, marketers and logistics companies.
While coffee production has increased in Ethiopia, Uganda and Tanzania, the opposite has been the case in Kenya.
In 2013, Ethiopia produced six million bags, Uganda 3.5 million bags and Tanzania slightly more than Kenya with 850,000 bags.
Mr
Kamau said AFCA has a strategic plan to increase output in Africa from
12.5 million bags to 25 million bags in three years, and Kenya being
among the top four growers is expected to play a key role in achieving
this goal.
He said the country should borrow from
Zambia, Zimbabwe and Malawi that have boosted production through leasing
of land that is put under irrigation, adding that this can apply well
in Rift Valley.
SOUGHT AFTER
“Kenya’s
coffee is worldly known and highly sought after as a specialty brand
but production has been on the decline, putting the future of the sector
in limbo as potential buyers seek alternative sources,” Mr Kamau said.
Coffee
production has declined from a peak of 130,000 metric tonnes in 1988 to
an average of 50,000 tonnes in recent years despite several government
interventions that included debt waiver, cheaper credit to farmers and
liberalisation of the market.
Some of the reasons
blamed for this are reduction of acreage in traditional coffee growing
regions due to competition from more rewarding ventures like real estate
mostly in Central Kenya, and low income for small scale farmers, which
has discouraged many.
“Productivity per coffee tree
should be part of the strategy to improve production. This has remained
very low at an average of two kilogrammes per year yet there is
potential for average of over 30 kilogrammes. We can raise output by
improving production from the trees we already have,” Mr Joseph Kimemia,
a former director of research at Coffee Research Foundation said.
According
to 2014 Economic Survey, coffee production declined by 18.8 per cent
from 49,000 metric tonnes in 2012 to 39,800 tonnes in 2013, which was
attributed to rising costs of farm and processing inputs. The average
yield also decreased in both estates and co-operatives sub-sectors.
According to Vision 2030, the target is to attain 100,000 metric tonnes a year in 15 years.
Agriculture
Principal Secretary Sicily Kariuki said the government would work with
the counties in coffee-growing zones to assist in raising production.
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