The Nyandarua county government has entered into a Sh1 billion agreement to build an integrated agri-hub to curb post-harvest losses of farm produce, especially potatoes.
The facility will provide cold storage and other services.
The MoU was signed with two German companies BASF - one of the world’s leading chemical companies – and IPR Consulting Establishment on Thursday.
Governor Francis Kimemia said 20 per cent of the county’s farm produce lost post-harvest, especially potatoes, will now be secure.
"I am glad to note that construction of the cold storage facility and its associated projects is expected to start by the end of 2019,” he said
Using polyurethane insulation provided by BASF, Nyandarua farmers will store their produce under hygienic and optimum conditions in the facility to be built in Ol Kalou. The hub will comprise agricultural production, a fruit and vegetable processing facility, and a cold storage warehouse.
Energy for the agri-hub will be provided by a solar energy generator with battery technology.
Over 70 per cent of Nyandarua residents depend on agriculture as their source of livelihood. Most of them are small-scale farmers who do not have the capacity to access major markets on their own hence are exploited by brokers and middlemen.
The county produces huge quantities of potatoes, cabbages, carrots and kales. But farmers lack of reliable supply of high-quality seed, suffer form poor production practices, pests and diseases, inadequate infrastructure development and poor or lack of grading sheds, collection centers and storage facilities.
“The MoU we have signed lays a firm foundation for us to resolve most of these challenges in the value chain,” Kimemia said.
He said the facility will not only offer farmers an opportunity to plan and manage their produce for better returns. Farmers will have the option to either sell immediately or later when prices are good.
BASF vice president for Africa Michael Gotsche said his company is proud of starting a long-term journey towards building sustainable partnerships in Nyandarua.
“We are very pleased for agreeing on an investment which will help reduce post-harvest loses and by that uplifting prosperity here in Nyandarua county, “he said
The chief executive officer of IPR Consulting Mario Praschil thanked the county leadership for support shown in the one-year toward signing of the MoU.
“For us, currently and in the coming years, the best place to be for investment is Kenya and specifically the county of Nyandarua," he said.
