Commercializing Kenyan Agriculture and Finding Opportunities for Youth Engagement along Agricultural Value Chain Development
Commercializing Kenyan Agriculture
and Finding Opportunities for Youth
Engagement along Agricultural Value
SIANI NAIROBI, ICRAF
Stephen Vundi Mungula
• What is the current status of the agricultural sector in
• Why is the sector the way it is?
• How can stakeholders harness the sector’s potential and
remove obstacles to commercialization?
About SIANI Kenya Chapter Expert Group ‘’Commercializing Kenyan
Objectives of the group
WHAT IS THE SITUATION?
Food & Nutrition Security
Food self-sufficiency ratio is at 75%
Food poor population high at about
60%. At any time, 3-5 million people
are at risk and 4 M at crisis during
Low food diversity 19% (2.3 out of
Stunting 26% under 5 years
Rural poverty has stubbornly
refused to decline (49.1%),
ASDSP figures on income show
that on-farm incomes are low at
37 KES/capital per day and
majority SH farming HHs less
Quality of employment for rural
Foreign Exchange Earnings
Both imports and exports have
grown steadily over the years.
But the coverage ratio
continues to be negative.
WHY IS THE SITUATION SO?
Policy and institutional failure( not supporting transformation)
Agricultural land fragmentation
Lack of structured Inter-sector and intra-sector cooperation and coordination
Inadequate resource allocation
On average 3-4% of national budget, 3-12% by county governments
Only a mere 4-5% of total credit from formal banks goes to agric.(KBA).
Inappropriate investments (political priorities over economic efficiencies)
Only sector where majority of actors are not qualified
Evidence based planning
How do we harness sectors potential
Have we been
Need for change of
business as usual
Commercialization and Value Chain Analysis
Define commercialization = Productivity and Income
Productivity = Value Chain Analysis
Definition ; made of primary activities and support activities.
Concept ; separates useful activities (competitive advantage) from the wasteful activities.
Income = Poverty line, KES 200 per day per household member
Income = (a*b*C.O.P*e*365)/d
C.O.P = Cost of Production
Price (b) Net Income per
Climate Smart Agricultural (CSA) practices and technologies
Social Inclusion and Youth
Social inclusion refers to removal of institutional barriers and
incentives to increase the access of individuals and groups to
Key agricultural issues of importance to youth = Market access,
finance, mechanization and ICT
Youth-led projects and ideas need to be acknowledged and be given
Conclusion and Way Forward
Support evidence based decision making and policy development
Need to encourage the sector actors and particularly development
programmes to factor in a mentorship support facility to youth
Need for deeper understanding of commercialization and sharing of
this to stakeholders