The agricultural sector is one of the most important sectors in Kenya. This is mostly due to the fact that the economy of Kenya is focused on agriculture. The days are long gone when farming was considered an activity that only older people did. In today’s world, the younger generation takes an active role in contributing to the expansion of industries and the production of agricultural goods. Food is produced by stakeholders in the field, who also come up with innovative agricultural solutions for people who are in need of assistance. In the end, widespread education on the significance of agriculture has contributed to the reduction of the alarmingly high unemployment rate in the country and has helped boost the productivity of farmers. Anyone in Kenya who has the potential to benefit from an agribusiness concept is welcome to do so.
The production of tea, coffee, dairy products, horticulture, maize, wheat, sugarcane, and livestock (beef, pigs, and chicken) are among Kenya’s most important agricultural exports. If you want to be successful in the field of agriculture, you need to be intelligent, innovative, and completely knowledgeable of the benefits and drawbacks of the stock you want to develop before you begin investing in it. Make sure that your product can fill the need that already exists in the market.
The vast majority of Kenya’s current agricultural enterprises may be launched with no prior experience or education in the relevant field. You need to be knowledgeable with the possibilities available, the risks you may encounter, and the returns of the items you have in order to manage a successful agricultural company. This will allow you to make informed decisions. You may also enquire about agribusiness finance in Kenya by going to the agricultural offices that are located inside the counties.
In Kenya, the following are some suggestions for productive agribusinesses:
1. Dairy farming
Because dairy farming is one of the most profitable forms of agriculture in Kenya, a significant number of residents choose to engage in this line of work. Milk tea and other dairy items are quite popular among Kenyans. Although the price of milk per liter varies from one region of Kenya to another, it is fair to say that it is somewhat expensive in Kenya. The price of a liter of milk may fluctuate anywhere from 60 to 100 Kenyan shillings. Even more costly than regular milk, processed milk may cost anywhere from Ksh. 40 to Ksh. 60 for a half liter depending on the brand. As a result of the fact that farmers sell their milk to dairy farms and milk processing plants, there is a continuous market throughout the whole process.
Because there is such a high need for honey in the Kenyan market, beekeeping has become one of the most lucrative enterprises in the world today. Even among those who are considering making an investment in agriculture in Kenya, there are not many individuals who are willing to raise bees. This is because of a lack of awareness about bees as well as a widespread phobia of them. When compared to the potential profits in the end, the low initial investment required to begin this venture is one of the many appealing aspects of doing so. Obtaining property that is suitable for beekeeping is the first step in keeping bees. After the location has been determined, the next step is to collect necessary materials such as bee jackets, smokers, and veils.
3. Fish farming
Many Kenyans enjoy eating fish. During the last several years, the number of fish that can be found in large bodies of water like Lake Victoria, Lake Naivasha, and other freshwater lakes has unfortunately decreased. However, despite their being fewer fish available, there is still a significant demand for fish in the Kenyan market. If you have the right knowledge and experience, fish farming may be a very lucrative enterprise.
The kind of fish that you wish to raise, a reliable supply of water, and an excellent site for your farm are the most important items to think about when starting a fish farm. Make sure you acquire some fresh fingerlings so that the process can get off to a good start.
4. Pig farming
One of the white meats that is favored the most in Kenya is pork. Pork sale nearly does as well as beef. Rearing pigs is not as tasking as people may believe. To get started, you should seek for the finest breeds that you can maintain in a comfortable environment and that have a high capacity for reproduction.
The landrace Hampshire, the huge white, and the duroc are the pig breeds that are seen the most often around here. The huge demand for pork and other goods derived from pigs in Kenya presents you with one of the most promising chances for agricultural enterprise in that country. If you want to sell the pigs that you raise in the future, be sure that the pigs that you choose to raise are of the appropriate size.
5. Vegetable farming
When planting, you should take into consideration the soil surrounding your farm, veggies that thrive well in most seasons, how much it will cost to plant, and how much it will cost to produce. When it comes to selling, many veggies result in a smaller profit, despite the fact that they are less expensive and easier to cultivate. Plants that produce mushrooms are excellent investments. Planting mushrooms requires very little work and space since they can be grown in very small areas. This is one of the benefits of growing mushrooms. Growing mushrooms is a profitable company that may be started in Kenya with 50,000 shillings. In Kenya’s supermarkets, grocery shops, and outdoor markets, mushroom prices consistently rank among the highest of any vegetable category. Other types of greens that may be grown commercially successfully include collard greens, cabbages, kales, spinach, pumpkin vegetables, and cilantro.
6. Poultry farming
Because there are so many fast food restaurants located in Kenya’s towns and cities, the demand for chicken will never go down. Because of the substantial earnings that can be made via poultry farming, it has become one of the most common types of agriculture companies in Kenya. Meat and eggs are two products that may be obtained from poultry husbandry.
In addition to keeping chickens, you may also maintain ducks and geese alongside the chickens. If you are considering making an investment in the agriculture industry, you should know that this is a line of work in which you may generate money even with little resources. Schools, bakeries, restaurants, and supermarkets are some of the other establishments that, in addition to quick-service restaurants, are in need of supplies from chicken farms. Farmers have the choice of keeping broilers or free bread chicken, which is more frequently referred to as kienyeji.
7. Sheep and goat farming
When compared to the labor required to raise bulls, raising sheep and goats requires less effort. Goats are kept for their milk and meat, whereas sheep are kept for their wool and their meat, respectively. The animals will also produce manure, which you can spread on your land or sell to other farmers; these are benefits in addition to the ones listed above.
In Kenya, the price of goat meat, lamb, hogget, and mutton is higher than the price of beef; as a result, these types of meat are more valuable. There have been multiple occasions on which success stories from sheep and goat farming in the agribusiness sector have been featured in the media to encourage individuals who have limited financial resources but want to get involved in the industry. Businesses in the agriculture industry face obstacles, much as those in many other industries. Before you get your company up and running, you need have some experience in business ownership and create a business plan that will assist you in analyzing the market. The encouraging news is that the majority of agricultural concepts in Kenya almost never fail, especially for first-time entrepreneurs. If you find yourself in a bind, you may seek assistance from one of the numerous recruitment firms for farmers that supply labor or agricultural institutes that can advise you on the best kind of agricultural enterprise to launch.
8. Agricultural consultancy
There are a lot of individuals that are interested in agriculture or would want more product information, but they do not know where to begin. If you are knowledgeable about all aspects of the agriculture industry, establishing a consultant business would be a wise move that would earn you a lot of money and may be extremely profitable for you. If you decide to charge for the information on how to invest in agribusiness in Kenya, your expertise and experience in the agricultural industry will assist a great number of people in becoming knowledgeable. You may market your services to farmers as well as institutions who are interested in making financial investments in agriculture. Simply registering with the appropriate government agencies is all that is required of you.
9. Animal feed production
Farmers that raise poultry, dairy animals, pigs, goats, or sheep need feed for their animals. Producing animal feeds is not only simple but also one of the most lucrative agricultural business ideas in Kenya. This is particularly true if you already have the necessary ingredients, such as bean barns, silage, lucerne, hay, maize stalks, and napier grass. Once you have generated feed for your animals, you may make arrangements with the local farmers to sell any extra feed that you have produced. You may increase the number of farmers who purchase by making the pricing more reasonable. A bag of layered marsh may be purchased for around Ksh. 2500 – 3000, whilst a bag of marsh suitable for dairy cows can be purchased for approximately Ksh. 1000 – 1500. If you are able to create more than ten bags every day, then you will have an excellent chance of turning a profit.
10. Bull rearing
Around two years is required for the typical bull to reach full maturity. The raising of bulls is a great investment since they provide high-quality meat and semen that may be used in artificial insemination. High-quality meat may be obtained from dual-purpose breeds like as the Sahiwal, Simmental, East African Zebu, and the Boran. The production of beef may also come from animals of different breeds of cattle, such as Herefords, Charolais, or Angus. Red cliff, Danshot, Red Torpedo, Montreux, Broekhuizen Bart, and Heuvel Bulykin are all examples of breeds that produce high quality sperm. If you want great bulls, you need to make sure they consume quality feed, have a solid housing structure, and drink sufficient amounts of water. In Kenya, several agricultural business incubators also provide instruction on the process of bull raising.