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Farmers in Kisumu and the surrounding Lake Victoria Basin counties are set to benefit from a Sh30 billion sustainable agricultural project.

The agriculture and food security investment programme will be jointly implemented by the Kisumu County Government and a UK-based company, United Green (UG) aimed at revitalising the sector.

The agri-food project is expected to provide farmers in rural communities with sustainable agricultural methodologies, agri-fin-tech services, high productivity climate-smart farming and agro-industrial facilities, thus making significant contributions to the region’s food security.

On averagely 20,000 rural households are targeted to be incorporated in the new agri-food operating system and at least 5,000 indirect jobs are expected to be created when the integrated enterprise is at full capacity.

Further, approximately 2,000 people will be directly employed when the enterprise is fully operational.

The venture’s primary farms will integrate with 100,000 hectares of surrounding farming communities through smallholder farmer schemes, with the aim of increasing their productivity and providing them with support on sustainable farming methods.

Imported food produce

Generally, the agribusiness venture would be implemented in a five-year period and is projected to reduce Kenya’s dependency on imported food produce by approximately Sh24 billion annually hence reducing the country’s trade deficit.

It will subsequently commit to off-take agreements with the farmers to ensure their financial security.

The agricultural project seeks to boost the productivity of array of high value crops such as rice, sunflower and soybeans.

Speaking during the stakeholders agreement signing at his office on Tuesday, governor Anyang’ Nyong’o said the flagship investment project will revolutionise  food  production  and general agriculture in the entire Lake  region. He said the project will also help accelerate growth  in other agricultural sub-sectors including revival of the cotton industry, dairy and fish production.

“This project has  come at the most opportune time  because Kenya needs a champion organisation to provide leadership and prudent investment, to develop inclusive, scalable, market-based, environmentally sustainable and high productivity agri-food systems,” said Nyong’o.

He noted that the project resonates with his government’s blueprint to revitalise agriculture in the county in order to improve livelihoods.

“The  project has an incredible alignment to the county Government of Kisumu’s strategy and with the national Government’s Agricultural Sector Transformation and Growth Strategy (ASTGS) 2019-2029. We will significantly contribute to all nine ASTGS flagships,” he said.

Revamp rice production

The governor reiterated plans are underway by the administration to revamp rice production largely produced in Kano plains as well as put up more investments in horticulture and floriculture.

United Green Chief Investment Officer Albrecht Frischenschlager said the investment will support Kenyan Governments’ strong commitment to increasing productivity, youth participation and employment within the development of local agriculture and associated industries and create strong demand for high quality and safe food products.

He added that the collaborative development approach over 5 years will deliver the largest and modern integrated crop and agro-industrial processing system in Kenya. “We are proud to have found such committed foundation partners in Kisumu and identified potential additional partnerships and look forward to building a national champion business in the sector together,” said Frischenschlager.

UK Department of  International Trade Director Alexander Milne said:  “We are confident of the expected positive outcomes, that could be extended to other regions in Kenya, including Job Creation, improved crop production for the outgrower community and enhanced livelihoods. The collaborative development approach over 5 years will deliver the largest and most modern integrated crop and agro-industrial processing system in Kenya, as well as strengthening Kenya’s food security in the face of global threats.”

The first phase of the agreement was signed between the county and UG officials in May.