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Kakuzi MD Chris Flowers assures international buyers that local stakeholders are working in concert to manage the prevailing logistical disruptions arising from geopolitical tensions 07/02…A Kenyan business leader in the fresh produce sector has assured global buyers that the country is working hard to overcome the unique logistical and shipping challenges brought about by the Middle East Conflict. Speaking at the opening of this year’s Fruit Logistica 2025 trade show in Berlin, Germany, Kakuzi Plc Managing Director Mr Chris Flowers assured global buyers that local producers, exporters, shipping firms and the Government of Kenya agencies are working in concert to manage the prevailing logistical disruptions arising from geopolitical tensions. Mr Flowers acknowledged that the tensions have significantly impacted national competitiveness and threatens the survival of agribusiness players in Kenya due to logistical and supply chain problems caused by the effective closure of the Suez Canal and the Red Sea/Gulf of Aden’s general route to European markets. He expressed regret that from a low of 30 to 35 days, shipments to Europe now take more than 50 days to reach the crucial market. “However, I can assure you that all stakeholders, including Kenya’s Cabinet Secretary for Agriculture, are working together to ensure that our produce reaches the European market on time and in good quality,” Mr Flowers said on the sidelines of Fruit Logistica 2025, the world’s leading trade show for the fresh produce business. At the same time, Mr Flowers assured the key buyers that Kakuzi, among other leading export firms, is working closely with the Kenyan Phytosanitary authorities to curb the export of immature fruit through maturity testing services and enhanced surveillance. To alleviate the plight of Kenyan exporters, Mr Flowers acknowledged that Kakuzi's key shipping partners are working round the clock to develop faster routes to Europe. However, he reemphasized that every day counts, further reducing logistics times is critical. "We all need to put our heads together and rescue any Country bottleneck that exists," he said. Last year, the geopolitical unrest in the Middle East introduced new risks to this critical maritime route through the Suez Canal and the Red Sea/Gulf of Aden. Incidents such as attacks on shipping vessels have raised security concerns and led to significant disruptions in marine traffic flow. In response, shipping companies, wary of potential threats to their assets and crew, have opted for alternative routes despite the longer journey times and higher costs, negatively impacting fresh produce exporters’. To reach Europe, Ships ferrying fresh produce such as Avocados have been travelling from Mombasa to the port of Salala in Oman. In Oman, the containers of avocados are transferred onto another larger ship, which then travels around the Cape of Good Hope and into Europe. In Europe, the containers are trans-shipped at Algeciras Port, southern Spain, moved to Northern Europe via Rotterdam or Felixstowe, and arrive near ripe. Mr Flowers noted that starting in February 2025, one of the major shipping lines will bypass Algeciras Port and head directly to Rotterdam from Salala. This has the potential to save precious days, he noted. This year, Fruit Logistica 2025 is featuring an outstanding programme of events. Over 100 experts, invited exhibitors, including Kenya’s Agriculture and Food Authority - Horticultural Crops Directorate, and trade visitors, are meeting in Berlin to discuss the latest trends and forward-looking concepts. Fruit Logistica 2025 covers the entire value chain of the fresh fruit and vegetable trade, from the point of seed to the point of sale. With over 2,600 exhibitors from more than 90 countries in 26 exhibition halls, the trade fair is an indispensable meeting place for the fresh fruit industry. Fruit Logistica 2025 has welcomed a record-breaking number of Smart Agri exhibitors, showcasing cutting-edge innovations shaping the future of agriculture. The Smart Agri exhibition area features 36 pioneering exhibitors from 18 countries, marking a significant increase over last year. These exhibitors will present Artificial Intelligence (AI) technology for estimating fruit yields, farm management and quality control software, sustainable and precise irrigation solutions, data-driven precision pollination, drones revolutionising agriculture, and much more.

Farming

Kenyan fresh produce exporters assure European buyers as logistical challenges persist

Staff Writer - February 10, 2025

Kakuzi MD Chris Flowers assures international buyers that local stakeholders are working in concert to manage the prevailing logistical disruptions arising from...

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Achieving global reach for refugee entrepreneurs: A Dadaab story One of the organizations that ITC works with in Dadaab is Nyota Farsamo Artisanal Collective, a Somali-Kenyan artisan collective which helps women refugees to start and build their businesses GENEVA, Switzerland, January 29, 2025/ -- In Kenya’s Garissa County, the Dadaab refugee complex has long hosted refugees from other countries in the region, particularly from Somalia but also from Ethiopia, South Sudan, and several others. In place for over three decades, the complex now has three main camps in operation. Some people have spent their entire lives in the Dadaab complex. For the people living in Dadaab, finding sources of income can be particularly challenging. Refugees, for instance, may run into difficulties accessing consistent electricity or internet sources in their camps, or may lack identification cards that employers, including freelancer websites, may require. That is why the International Trade Centre (ITC) has had an active presence in the area for several years, including under its Refugees Empowerment Through Markets Initiative (REMI). This project involves refugees, internally displaced persons (IDPs), returning migrants, local communities, and their businesses. It is also informed by ITC’s extensive research on what it means to support small businesses in fragile and conflict-affected settings. One of the organizations that ITC works with in Dadaab is Nyota Farsamo Artisanal Collective, a Somali-Kenyan artisan collective which helps women refugees to start and build their businesses. They focus on handicrafts and provide women with support to strengthen their entrepreneurship skills. They are also responsible for creating a network among these women-led businesses. ITC has worked with Nyota Farsamo over several years, even before the launch of REMI, thanks to the support of the European Union under projects such as the Area Based Livelihoods Initiative–Garissa (ABLI-G), and also via other multi-funder projects such as the Refugee Employment and Skills Initiative (RESI), supported by Japan, the EU, the Norwegian Refugee Council and the Danish Refugee Council. One of the recent milestones for Nyota Farsamo came in 2023, when they began a collaboration that will allow them to join the United Nations High Commissioner for Refugees’ (UNHCR) MADE51 initiative in 2024. That initiative now spans 23 countries and counting. ‘By now Dadaab has second, even third generations of displaced persons, and it is not clear for them if there is a chance to go back,’ Athir Hajir Adbi, Nyota Farsamo’s chair, told ITC’s Trade Forum magazine. ‘Our collective also stands for support and belonging in a home away from home. With a little money in their pockets, women are empowered to leave abusive relationships, or buy basic needs such as water, food, and clothes—so the economic effect trickles down to leading a dignified life as a human being.’ Being part of MADE51 means accessing social enterprise partners from across world regions, along with opportunities for seed funding and other resources. It also means that artisans can access new buyers for their products, drawing on the strong reputation that the initiative has built since its inception. The Nyota Farsamo collective is now looking to build on this success to set up market outlets in Dadaab, Garissa, and Nairobi. Nyota Farsamo is one of many such stories of collectives that ITC and its partners are working with, and as ITC works in more fragile and conflict-affected settings, it is engaging closely with partners in the humanitarian and development space to ensure that every intervention is tailored to a given situation’s nuances. That includes, as the situation requires, undertaking conflict-sensitivity assessments and other analyses. ITC is currently developing guidelines for these assessments. ITC has also made pledges under the Global Refugee Compact in both 2019 and 2023, outlining its plans for scaling up its work, and co-hosted a Global Refugee Forum-linked event in December 2023. The most recent pledges feature a commitment to continue taking a partnership-driven approach, connecting the private sector and humanitarian initiatives, to tackle challenges refugees face when participating in the local and global economy. Over time, these efforts will not just change the economic possibilities for refugees themselves, but also change the wider business and policy ecosystem accordingly.

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