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REAP KENYA SMALLHOLDER HORTICULTURAL FARMING IN KENYA AND THE REAP PROJECT

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Title: REAP KENYA SMALLHOLDER HORTICULTURAL FARMING IN KENYA AND THE REAP PROJECT


1
REAP KENYASMALLHOLDER HORTICULTURAL FARMING IN
KENYA AND THEREAP PROJECT
  • CARE International in Kenya

2
Presentation outline
  • Smallholders in Kenya
  • Introduction
  • The Produce and the market
  • External Factors Influencing the market
  • Main constraints faced by the smallholder
  • Efforts by the GOK and others
  • Efforts by CARE REAP Model
  • Background
  • Area of coverage
  • Mission Objectives
  • The model
  • Lessons learned
  • Conclusion

3
Introduction
  • Although over 80 of Kenya is classified as ASAL
    it is gifted with rivers and water that allow for
    all year round production in horticultural
    produce for the domestic and export market.
  • The last decade has seen the Agricultural sector
    undergo a revolution making it the 3rd largest
    contributor to the GDP at about 23 and the
    exports in the horticultural sub-sector exports
    have doubled from about 50000 tons p.a. in 1991
    to almost 100000 tons p.a. in early 2000.
  • Due to its small scale production structure and
    its labour intensiveness it has contributed in a
    large way to employment and income generation for
    a large size of the population.
  • Despite the growth seen in sector and the fact
    that over 60 of the produce is contributed by
    the smallholder, the smallholder continues to be
    marginalised.

4
The Produce and the Market
  • Horticultural crops grown in Kenya include
    tomatoes, kale, onions, sweet pepper, cowpeas,
    sweet corn, oranges, mangoes, French beans,
    papaws, citrus fruits, Asian vegetables,etc.
  • Asian vegetables also known as Indian vegetables
    refer to Karella, Brinjals, Chilies, Okra, etc
    that originated from India.
  • 90 of the horticultural produce from Kenya go
    to the EU and 50 of these go to the UK
  • 40 of the horticultural produce into the UK are
    vegetables
  • 17 of vegetables to the EU are Asian
    vegetables with 15 going to the UK alone
  • Peak periods in April-June Sept-Nov for Asian
    vegetables

5
External Factors influencing the market
  • European consumers do not just want good quality
    horticultural produce, they also want to know
    that they have been produced under ethically and
    environmentally sound conditions.FPEAK,KFC,KEPHIS
    ,HCDA,.all have a role to play in/with MRLs,Code
    of practice,GAPs,etc
  • World Trade agreements like the one currently in
    place after Lome V which gives tariff concessions
    to the EU expires in 2007. Kenya is no longer
    considered to rank like a Least developing
    country but instead a developing country.
  • Poor infrastructure, e.g. roads, rail services,
    telecommunications, etc.
  • Rising competition from other emerging ACP
    economies e.g. for Asian vegetables countries
    like Ghana and Uganda.
  • Aids is affecting every sector. 1 out of every 10
    adults in Kenya has aids! It is affecting the
    labour force of the sector, its affecting the
    level of income available of the farmer

6
Constraints faced by the small holder farmers
  • Limited Capital and access to credit to for
    inputs
  • Lack of modern irrigation technology
  • Poor quality seed
  • Expensive inputs Chemicals Fertilizers
  • Inadequate knowledge of modern growing techniques
  • Marketing lack of market information and
    adequate markets
  • Inadequate skills in business techniques

7
Effort of GoK and Partners
  • The MoA KARI FPEAK UoN-KIP etc have all given
    extension services to the farmers.
  • The MoA has a department that deals with
    irrigationMin. of Water issues permits and
    educates on water rules NIB TARDA UoN-KIP
    FPEAK KARIUSAID etc have all played a role in
    trying to improve irrigation for the smallholder
  • Duty relief on chemicals and fertilizers
  • Ministry of Cooperatives assist to organise
    farmers coop. Groups while Ministry of Culture
    organise the smaller groups into self help
    groups.
  • KEPHIS play a role indirectly as they are in
    charge of checking that exports meet expected
    standards
  • HCDA is probably the biggest effort by the
    government to date to assist the smallholder i.e.
    the initiative of the cold stores/auction centres
    in conjunction with the Japanese

8
CAREs Role - The REAP project
  • The Background
  • The CARE Rural Enterprise Agri-Business Promotion
    (REAP) Project was initiated in early 2000.
  • Originally, the REAP project was funded by IFAD
    grant under the CARE Canadas ROAD program.
  • Other Donors supporting the project are CIDA
    CARE USA.
  • Other countries involved in the REAP programme
    include Mozambique, Zambia, Ghana and Zimbabwe.
  • The REAP Project
  • The project evolved from a joint agribusiness
    project proposal developed by CARE Kenya in
    collaboration with FPEAK, KARI UoN-KIP, HCDA and
    USAID who are all key players in the sector
  • The first two farmers groups in the REAP project
    were groups that emanated from a small growers
    scheme that was run by FPEAK USAID.

9
REAP Project Area
  • The Region
  • The area of operation is Greater Kibwezi
  • One of the lowest per capita income in the
    country
  • Out of a total of 21,000 acres of irrigatable
    land available only 3,000 acres is used.
  • 30 of the Asian vegetables are produced in
    Kibwezi
  • Greater Kibwezi which is the target area
    located in Makueni District of Eastern Province.
    Makueni District is a semi-arid area
    approximately 200 km south east of Nairobi.
    Kibwezi, Makindu and Mtito Andei are the three
    divisions within Makueni where the REAP project
    is to be located.
  • Horticultural production is carried out in
    several clusters of smallholder farmers
    concentrated along the many rivers (Kibwezi
    river, river Athi, Thange river, Makindu River,
    Mtito Andei river, Mang'elete river, Kambu river)
    that flow through the area

10
MAKUENI DISTRICT REAP PROJECT AREAS
11
  • The Mission and Objectives
  • Specific Objectives
  • Organize Farmers into groups
  • Provide linkages with the market
  • Provide linkages with the input and credit
    suppliers
  • Provide Extension services
  • Form a core management unit

12
The Implementation Model Business Oriented
Model
13
Operational Method
  • The REAP project consists of a team of experts in
    their fields,headed by a Business Manager who
    reports to a board.
  • The farmers are organised into groups (PUs)of
    30-50 members and they grow mainly Asian
    vegetables for export.
  • The farms are run by a farm manager who is
    employed by the farmers reports to a
    committee/board of farmers working initially
    under the advise of REAP
  • The REAP management links the farmers to the
    market by negotiating an export contract
  • The REAP management assists the farm manager make
    their production plan to satisfy the export
    contract
  • The REAP management assists the farmers to make a
    business investment plan to help build their
    financial base.

14
Operational Method
  • The REAP project provides linkages with input
    suppliers and uses a revolving fund(ISF) to
    facilitate supply of inputs any loans given
    are repaid at the end of the cycle/quarter.
  • The REAP project also offers the farmers
    assistance in acquiring modern irrigation
    infrastructure and systems through an Inputs
    Supply Fund (ISF) but this credit is payable over
    a longer period.
  • Once the Units gain full managerial and financial
    autonomy which is expected to be in 2-3 years
    then the REAP management takes the funds repaid
    back from that unit and begins another unit.
  • The first phase will have 5 viable units in place
    by June

15
Land-The Farming System
16
The People-Training
17
The Produce-Sorting
18
The Produce-Grading
19
Lessons Learnt
  • Lessons Learnt
  • Emphasis on Farmer owned process rather than
    farmer managed utilization of land, labour
    management, crop selection/mix, etc.
  • Intensive capacity building necessary
  • Group structure Ltd. Companies, coops, etc.
  • Selection criteria priority to full time
    farmers with 1.5 acres of land or less and
    earning their living from horticulture
  • Viability Sustainability
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