17.0 AGRICULTURE AND FOOD SECURITY
The DP recognizes that among the main economic challenges Kenya will face in this decade and beyond is the shortage of foreign exchange, unfavourable balance of payments, unemployment, poverty and malnutrition and land degradation. The agricultural sector is expected to play a leading role, in dealing with these challenges. The importance of the sector is demonstrated by the fact that about 80 percent of the Kenyan population live in the rural areas where 70% of the population depends on agriculture. Agriculture accounts for 75% fulltime employment, 24% of total GDP and 45% of total export earnings; produces almost all the Country’s food; generates 60% of the foreign exchange; and, produces 70% of the raw materials for the industries.
Notwithstanding the importance of the agricultural sector, its performance in terms of productivity has regrettably remained low. Several constraints have contributed to the low productivity in Kenya’s agriculture. These include: drought and floods, lack of effective and coherent land use policy, and inappropriate legal and regulatory framework, prevalence of HIV/AIDS, high post-harvest losses, high taxation especially on inputs including machineries, fuel, fertilizers and spare parts making Kenyan agriculture less competitive; lack of adequate storage and processing facilities; insufficient investment in agriculture and modern technology especially post-harvest technologies, ineffective and inadequate extension services, linking researchers and farmers, insufficient or improper use of inputs, malfunctioning markets, poor rural infrastructure and lack of access to bank credit, among others. These constraints affect all the major sub-sectors in agriculture including the export crops (tea, coffee, horticulture), industrial crops (cotton, pyrethrum and sugar), food crops (maize and wheat) and the livestock sector (meat, leather and dairy).
In order to improve productivity in agriculture the DP Government will implement the following strategies:
1. Enhance input use including fertilizer, seed and high yielding seed varieties
2. Enhance new technology and information as a spring board for a thriving agricultural sector;
3. Poor governance and corruption in all institutions supporting agriculture
4. Restructure extension service to become the main service agricultural advisory services;
5. Enhance budgetary provision for research to about 5 percent of the Gross Domestic Product;
6. Improve the coordination of research institutes that have a bearing in transforming agriculture including KARI, KEFRI, KETRI, CRF, KEPHIS and develop collaboration with ICIPE, ICRAF, ILRI and the Science and Technology people
7. Provide farmers with incentives to motivate them to invest their resources in farming. Major incentives include availability of reasonably priced inputs, effective research and extension services and availability of affordable credit.
8. Improve information on crop and weather patterns
9. Develop efficient and effective markets for agricultural inputs and outputs
10. Develop and maintain appropriate infrastructure including transportation, storage, marketing infrastructure and information and communication infrastructure
11. Expand public-sector research using the most appropriate methods including agro-ecological methods, conventional research methods and genetic engineering.
12. Provide subsidized credit targeted to small-scale farmers.
13. Reduce over reliance on rain-fed agriculture
14. Reduce transaction costs including freight, insurance, custom charges among others in order to improve competitiveness in agriculture
15. Increase investment in agriculture and related institutions.
16. Install pre-cooling storage system and cooled transport facilities in major Horticultural Production Zones.
17. Strengthen drought preparedness mechanism
18. Improve all coffee, tea and dairy boards among others
19. Develop a proactive land use policy.
20. Encourage and foster already existing traditional methods for reducing post harvest losses.
21. Intensify training in post harvest technology application
22. Initiate mass media campaigns to educate the public on methods reducing food waste and their rights on food safety.
23. Increase research funding on post-harvest technologies.
24. Ban the export of Kenya agricultural raw materials
25. Add value to all agricultural products to improve competitiveness by shifting to agro-industry and agro-business
17.1.1 Sugar Production
Sugarcane is an important crop in Kenya. However attainment of self sufficiency in sugar has remained elusive over the years. Consumption continues to increase while production has been declining leading to high levels of imports. Inorder to increase production and productivity in the sugar industry, the DP Government will implement the following measures:
1. Develop and apply sugarcane biotechnology to related crops and core products
2. Review the wide range of taxes, levies, cesses and fees charged by the Central Government and Local Authorities
3. Improve efficiency in sugar processing and increase the production of energy
4. Complete the privatisation of the sugar factories
5. Intensify research in high yielding sugarcane varieties
6. Improve research programmes aimed at high yielding cane varieties.
7. Strengthen out growers organisations
8. Manage the importation of sugar to protect the industry.
9. Improve efficiency and infrastructure in all sugar factories
10. Improve extension of credit and assure timely payment to farmers
17.1.2 Rice Production
Rice is an important cereal crop in Kenya. It is produced under irrigated and rain-fed conditions. Its production is constrained by conflicts over ownership of irrigation schemes, use of low-yielding varieties especially retained seeds, high post harvest losses, poor disease and pest control, high production costs and poor marketing channels. Inorder to increase rice production, the DP Government will implement the following strategies:
1. Deal with all rice schemes’ land ownership question
2. Expand the area under rice production
3. Provide incentives to farmers so as to increase production.
4. Reduce post-harvest losses
5. Diversify rice products using appropriate technology
17.1.3 Cotton Production
Cotton production has the potential to become a major source of income to our farmers if and only if the sector is properly managed. However, several constraints face the cotton sector including poor seed quality and inadequate multiplication, low cotton prices, poor management of ginneries; an inefficient Cotton Board; limited financial resources to undertake research and poor research extension linkages. Inorder to improve performance of the cotton industry and revive the textile industry the DP Government will implement the following strategies:
1. Invest in seed multiplication and certification exercises
2. Guarantee active participation of the public sector in ensuring greater productivity of the sub sector
3. Seed quality assurance and certification
4. Encourage the private sector to multiply and distribute certified cotton seed
5. Strengthen the management of the Cotton Board
6. Strengthen research and extension linkages
7. Establish an incentive system for farmers
8. Undertake to improve the managerial capacities of the ginneries
17.1.4 Bixa Production
Bixa is grown in parts of the Coast Province and it is an important industrial crop that has a lot of potential. Production of Bixa has remained static over time mainly due to poor pricing and marketing policies in general as well as lack of the necessary extension services. Bixa is mainly used as a natural food colour and its demand is high. Since it produces natural food colour, it is preferred by food industries as compared to synthetic food colours. Kenya can thus take advantage of this aspect. Inorder to improve the production and processing of Bixa, the DP Government will implement the following measures:
1. Increase Bixa research and extension services
2. Strengthen the role of cooperatives and marketing of Bixa
3. Revive the Bixa factory at the Coast
4. Encourage the private sector investment in this important industry.
5. Provide incentives to the farmers in terms of free seeds and better marketing system
17.1.5 Cashewnuts
Cashewnut is a traditional crop mostly grown in parts of Coast Province. It can be a major source of income and employment. However, the production of this crop has been declining due to many factors which include price disincentives, poor marketing network and inadequate research and extension services. Inorder to increase cashew nut production, the DP Government will implement the following measures;
1. Encourage the private sector to invest in cashew nut production and processing
2. Improve research and extension services
3. Strengthen the management of the Coast Development Authority inorder for the Authority to improve cashewnut production.
17.1.6 Coffee
Coffee is Kenya’s second largest export crop after tea. The coffee production over the last few years has been going down due to a number of constraints which include: fluctuation of world coffee prices, inefficient management of the Coffee Board and cooperatives, inadequate credit to small holders, unfavourable weather, and high transaction costs. The DP Government will undertake the following measures to remove those constraints and ensure that the farmer get value for his money:
1. Streamline the role played by the Coffee Board of Kenya, Kenya Planters Cooperative Union and the primary cooperative Societies;
2. enhance the implementation of the Coffee Policy and the legislative framework
3. improve the rural feeder roads in the coffee growing zones
4. intensify coffee research with the aim of improving on quantity and quality and having breeds that are disease-resistant
5. provide cheap inputs by ensuring that the cooperatives import their own inputs
17.1.7 Tea
Tea is the principal export crop. Most of the tea t is grown by peasants in small holdings. Tea export earns Kenya about 20% of the total export earnings. The area under tea has increased over the years. However the sector is affected by poor road infrastructure, mismanagement of the sector by the Kenya Tea Development Authority, high cost of inputs and competition from other world tea producing countries like Sri-Lanka and India. Having these constraints in mind the DP Government undertakes to:
1. Increase the capacity to handle the increased production by expanding the existing factories as well as building new ones
2. Ensure that KTDA makes timely payments to the farmers
3. Build the capacity of the Kenya Tea Research Institute to produce high-yielding researched seed varieties
4. Ensure farmers participate fully in the management of the tea affairs
17.1.8 Maize
Maize is Kenya’s staple food crop. Its production as in the case of tea is mainly by small scale farms that have a yield of an average 2 metric tonnes per hectare. Kenya at one time was able to export maize but over the last two years we have not met our demand and thus had to rely on imports. The maize producers have been affected by a number of constraints which include: high cost of inputs, delayed payment by the National Cereals and Produce Board, and cheap imported maize. In this regard, the DP Government will undertake the following measures to ensure that maize farmers get profits out of their labour:
1. Ensure that farmers get certified seeds which are reasonably priced
2. Provide funds for the payment of all deliveries made to the National Cereals and Produce Board
3. Restrict the importation of cheap maize
4. Increase maize prices to the farmer to enhance profitability
5. Intensify the use of fertilizer in production
17.1.9 Pyrethrum
Kenya is the leading pyrethrum producer in the world despite the fact that production has been going down over the years. The major reason for the decline has been the non payment to he farmers by the Pyrethrum Board of Kenya. Other reasons would include the non utilization of high yielding varieties and lack of credit to the farmers. Accordingly in an effort to revive pyrethrum growing and marketing the DP Government will undertake the following measures:
1. Ensure that farmers are paid all the arrears immediately
2. Build capacity of the pyrethrum Research Centre to research on new high yielding varieties
3. Liberalize the pyrethrum production and marketing
4. Add value to pyrethrum by products for use in livestock feeding and organic weed control
17.1.10 Other Crops
The DP Government will promote the production of groundnuts, macadamia nuts, citrus,, coconut, sisal, production of traditional crops including sweet potatoes, arrowroots, grams, cow and pigeon peas, and oil crops including simsim, rape seed, sunflower, castor oil and soybeans. A proactive incentive programme will be put in place to promote these commodities.
17.2 Food Security and Nutrition
Food security exists when all people, at all times have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active and healthy life. A healthy and nutritionally well-fed population is indispensable for economic growth and development. Health and nutritional status affects the capacity to learn, which in turn determines productivity and economic growth. Thus the benefits of good health and nutrition on economic growth cannot be overstated. But to harness these benefits, the interrelationship between poverty, food insecurity, health and nutrition must be understood and policies developed to deal with each problem. In order to improve food security for all people. The DP Government will implement the following strategies:
1. Strengthen the mechanism for food Security Preparedness and Early Warning Systems
2. Establish a strategic food policy
3. Increase food strategic reserves from 6 million to 10 million bags.
4. Increase the productivity of agriculture.
5. Increase people’s income through employment and job creation.
6. Improve food distribution and information systems.
7. Reduce post-harvest losses
8. Introduce school feeding programme
17.3 Food Imports
Food imports have been used in Kenya with a tendency towards increased dependence in the past. This has been as a result of the poor performance in agricultural production and productivity. Food imports have negative impacts on various economic and socio aspects of development. Food imports have been shown to reduce domestic food prices, stifle domestic food production as the prices of imported foodstuffs enter the Country at low prices. This trend is dangerous especially in drought years considering that Kenya is dependent on agricultural exports to finance imports. It would make economic sense if foreign exchange being used to import food were used in building institutional and technological capacity of food producers. These would reduce import dependency. In order to reduce the importation of foodstuffs and to further guarantee food security, the DP Government will implement the following strategies:
1. Intensify research and training on post harvest technologies
2. Develop food import-export strategies
3. Intensify the production of traditional food crops including cassava, arrowroots, millet, sorghum, yams among others.
4. Develop and maintain appropriate infrastructure including transportation, storage and marketing infrastructure
5. Remove institutional barriers to create and expand small-scale rural credit and savings institutions and make them available to farmers, traders, transporters and processing enterprises
6. Expand public-sector research, using the most appropriate methods, including agro ecological methods, conventional research methods and genetic engineering.
17.4 Livestock
The livestock sub-sector is one of the most important sub-sectors of the agricultural sector. Its importance is demonstrated by the fact that it contributes 42% of the agricultural GDP and 10% of the total GDP; employs over 50% of the agricultural labour force; 90% of over seven million people living in the Arid and Semi Arid Lands (ASALs); generates foreign exchange through exports of live animals, hides and skins and dairy products; and provides raw materials for local dairy, meat, wool, hair and meat processing industries, as well as hides and skins for tanneries.
A number of constraints hinder the growth of the livestock sub-sector including inadequate animal disease and pest control; high input costs including feeds, poor livestock extension service; low value addition activities, poor artificial insemination service, lack of affordable bank credit, poor marketing infrastructure, inadequate slaughter and processing facilities, inadequate livestock water; and inadequate high yielding animal breeds. In order to improve the performance of the livestock sector the DP Government will implement the following measures:
1. Support private entrepreneurs to produce and make natural pesticides for use in agriculture and health
2. Eradicate the misuse and adulteration of agro chemicals, animal drugs and vaccines
3. Promote integrated livestock systems to reduce over dependence on chemical fertilizers
4. Improve disease control systems and provide adequate dipping facilities
5. Improve the Artificial Insemination delivery system
6. Develop and rehabilitate dams, boreholes in livestock production areas with special emphasis on the ASAL.
7. Increase slaughter and processing facilities especially in the ASALs.
8. Strengthen the Livestock Production Department and the Veterinary Department of the Ministry of Livestock Development and Fisheries
9. Upgrade the quality of livestock and provide appropriate financial support for the sector.
10. Encourage greater specialization in non-conventional livestock production including ostrich, geese and the small ruminant among others
11. Improve livestock extension service;
12. Develop appropriate livestock Technology.
13. Improve breeding stock for poultry and beef, sheep and goats.
14. Encourage the private sector investors to invest in both primary and secondary processing of hides and skins and other products.
15. Improve KMC and KCC operation in order to improve beef and milk production.
16. Institute incentives to promote the expansion of slaughter houses and related industries in ASALs and make land available for holding grounds
17. Rationalise and reduce taxes on livestock inputs especially imported chemicals and medicines.
18. Ban the export of all livestock raw materials; hides and skins, live animals among others in order to generate more employment and income.
19. Encourage value addition in all livestock products to improve competitiveness.
20. Propagate aggressive, deliberate focus on improving small scale farming to ultimately increase productivity per hectare
21. Improve market access in rural areas through roads improvement
22. Introduce high yielding dairy animals for milking
23. Encourage small scale cooperatives to process their products
17.5 Fisheries
The DP recognizes the importance of the fishing industry. The fisheries sub sector contributes about 3% of the GDP and 3% of the total export earnings. Food italicisation of natural fishery from Lakes, rivers and Indian Ocean is an important source of employment and foreign exchange for the people living in the Lake Region and the Coastal Regions of Kenya. Lake Victoria is the most important source of fish which accounts for 93% of the National catch. Production of fish has been declining over the years for several reasons including over fishing, low level of fish exploitation due to lack of equipment to undertake deep sea fishing. Kenya has a vast potential in fisheries, but the fishing sub-sector, especially the rivers faces serious threats from water pollution by agricultural chemicals and other effluent; siltation and over fishing of the breeding grounds in Lake Victoria and estuaries along the Kenyan Coast. In order to improve the fishing industry, the DP Government will implement the following measures:
1. Increase surveillance capacity for the purpose of licensing investors willing to utilize the Exclusive Economic Zone in conformity with the UN Law of the sea
2. Improve the capacity of quality assurance
3. Improve the management of fisheries services, production, market access and penetration into traditional fish export markets
4. Enhance the mechanism to control chemicals and other effluent; siltation and over fishing of the breeding grounds in Lake Victoria and estuaries along the Coast.
5. Establish a credit scheme for the fisheries sector.
6. Increase investments in fisheries development using fish farming greenhouse technology
7. Promulgate lucrative efforts to harness the potential of deep sea fishing
8. Add value to all fish products to improve competitiveness
9. Expand production of fish farms in other areas
10. Establish refrigeration or cold room along the trading centers in the Lake shores and at the Coast estuaries.