Kenya is among the leading producers of avocado in the world. Growing demand for the product – as a delicacy and raw material in the manufacture of oils and cosmetics – has turned avocado into a multi-billion-dollar fruit, with Kenya aspiring to compete world biggest producers such as Mexico and Peru.
In the avocado farming ecosystem, a new breed of entrepreneurs is emerging, comprised mainly of young people out to find a niche in its winding value chain. From production through to marketing, there seems to be enough space for entrepreneurs keen enough to tap its opportunities.
Among them is Elijah Sawe, who started off as a small-scale farmer and is now considered a mover and shaker across the value chain. While working in the UK for an international organisation, Sawe’s love for avocado was taken to a high by his other obsession: githeri (a mixture of boiled maize and beans). “I love githeri and I love it with avocado,” he says. “One day I went to buy avocado and was shocked that one small piece, which had come from Netherlands, was going for one pound (about Ksh170).”
This raised his business antennae. On returning to Kenya during the COVID-19 period, Sawe started investing in an avocado farm. On further research, he learnt that some of the avocados being sold in retail shops in London were actually coming from his village in Kenya.
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While Covid was disrupting lives and businesses, Sawe was building a new one. He leased 40 acres of land to start off Saki Farm and expanded it later. With his background knowledge in agribusiness, having worked for an agriculture-related organisation, it was an easy start for him.
There are two popular avocado varieties in Kenya – Hass and Fuerte – though there are over eight types. Sawe took up seedlings of these two to venture into this vast business. From the first step, Saki Farm has expanded from producer to aggregator and even grading, tapping the entire value chain, including marketing and export. “I have been everything,” he says. I started as a farmer and ventured into nearly every section of the avocado value chain. We also get produce from certified farmers for export, we can do audits, and even source for export markets.”
Sawe, who studied computer science, was speaking on Youth Forum Series, sponsored by Co-operative Bank of Kenya, as part financial training for youth in business, in business and students.
Avocado presents huge opportunities for young people in Kenya. On the production side, entrepreneurs can produce certified seedlings, prepared from grafted twigs, or plant and produce avocado. In between, there are opportunities such as auditing, farm management, technology, and marketing.
Sawe says avocado farming pays well, with one tree earning up to Ksh6,000 per year if well taken care of. It takes about two years for a seedling to mature.
According to his experience, a single tree can produce between 100 and 200 fruits, which translates to about 60kgs. At a price of Ksh100, per tree a single tree can easily rake in Ksh6000. With two harvests in a year that translates to Ksh12,000. One acre can accommodate up to 120 trees, which makes the avocado maths very enticing.
The biggest consumers of avocado in the world are USA and Europe as food, production of oils and in cosmetics. With such a market and fluctuating seasons in various source markets, Kenya stands a great chance of profiting from avocado exports, especially when Mexico and Peru go off season.
In Kenya avocados are produced mostly in central Kenya in areas around Murang’a and North Rift areas, with pockets of production hubs in Ukambani region.
“Avocado is a low hanging fruit for now,” Sawe says, “and the beauty is you can be both farmer and value-chain player.”
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