COVID-19: Horticulture exports in Kenya rise to $1.3bn

Kenya's horticulture sector has defied the harsh economic environment caused by the COVID-19 pandemic, with the industry posting impressive earnings of 148 billion Kenyan shillings in 2020, a significant boost to the country's foreign exchange reserves. The growth in earnings can be attributed to the export of fruits, vegetables, and flowers, which saw a 5% increase from the previous year. Alex Owiti, a Communication Consultant at the Horticulture Industry in East Africa, discussed the sector's performance and future outlook with CNBC Africa. Despite challenges posed by movement restrictions and market closures, Kenya's horticultural products found their way to traditional markets in the European Union and the UK. The reopening of airspace facilitated the continued export of these products, with emerging markets in Asia and the US presenting new opportunities for growth. However, the sector experienced a decline in earnings from flowers and vegetables at the onset of the pandemic due to lockdowns and reduced global economic activity. To navigate future challenges, Owiti highlighted the need for a revolving fund to support small and medium enterprises (SMEs) in accessing funds for exports and expanding local markets. He emphasized the importance of friendly tax policies and incentives to enhance the domestic market, which plays a crucial role in sustaining the agricultural sector's contribution to GDP and employment in Kenya. The interview also touched on the complexities surrounding the UK trade deal and the EAC integration, signaling a need for reassessment to ensure mutual benefits and avoid undermining regional agreements. As Kenya continues to navigate the impacts of the pandemic on its economy, investment in the horticulture sector and supportive policies will be key to driving growth and resilience in the industry.