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Kenya eyes new investors in Galana after Israeli firm row

admin2020-06-01T08:40:19+00:00
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Kenya is set to open its model farms at the cash-starved Galana-Kulalu irrigation scheme to other private investors almost one year after falling out with an Israeli firm.

Water and Irrigation Principal Secretary Joshua Irungu said the ministry was in the process of engaging investors under a private-public partnership arrangement.

This came as MPs pledged to approve the Sh900 million that the National Irrigation Authority (NIA) had requested to prepare the 10,000-acre model farm for investment. The model farm is 85 percent complete.

“We want to revitalise Galana, and open it up to investors because it is a viable project that can play a significant role in promoting food security in the country,” Mr Irungu.

The NIA took back the works at the scheme last year after falling out with Israel’s Green Arava, over a payment row. NIA has maintained that Sh1 billion bill that the Green Arava wants to be settled is five times higher than the actual figure of Sh200 million.

In January, then Water Cabinet secretary Simon Chelugui said works at Galana-Kulalu Irrigation Scheme had stalled for lack of Sh600 million.

The Treasury has since allocated just Sh10 million for the project in 2020/21 and proposes to invest a similar amount in the scheme every year, up to 2022.

Last week, Mr Irungu — apparently buoyed by MPs’ new budgetary push — said the NIA would soon advertise for bids to have large scale investors grow crops at the scheme.

This came as parliamentary Committee on Environment, Water and Natural Resources, said the House would approve the funds for completing the remaining acres of the project.

“The ministry has requested for additional funding and I would like to give an assurance that we are going to approve the money that they want to enable them complete the project,” said Mr Mbiuki.

Crops Principal Secretary Hamadi Boga said the project would only be successful if the government pulls out to allow private investors to take it over in large scale.

“The government should never be in business of doing business, the way forward for the success of this project is to have private investors take it over,” said Prof Boga.

The project has lagged behind the schedule as it was supposed to have been completed by now and opened in large scale to private sector.

About 7,000 acres have been cultivated to date with 3,000 acres put under crop last year.

The 10,000-acre model farm is a pilot project that will guide the rolling out of the entire a million scheme once it is opened up.

Source : www.businessdailyafrica.com

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17-19 November 2020 | Kenyatta International Convention Centre (KICC)
  • Home
  • Exhibitors
    • About Africa Food Show 2020
    • Show Profile
    • Hosted Buyers Program
    • Exhibitor Registration
  • Visitors
    • Venue
    • Visitor Profile
    • Visitor Registration
  • About Africa
    • Business Opportunities
  • About Us
  • Contact Us
  • Partners & Media
  • Press
    • Industry News
    • Press Articles
    • Gallery
    • Reports
  • Book Your
    Stand Now
  • VIRTUAL SHOW

Recent Posts

China (Taizhou) Agricultural Digital Expo
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PE fund to invest Sh535m in Kenya agribusiness SMEs
AFRICA FOOD SHOW & ZHEIJANAfrica Food Show & Zhejiang Online Export Trade Fair make their VIRTUAL debut from Monday July 20 – Friday 24 July for five fabulous days, packed with the latest products and trends, thought leadership and insightful talks from a line-up of industry movers and shakers. Dubai, 20th July 2020: The official opening of Africa’s largest and most comprehensive VIRTUAL B2B food show since the global COVID-19 crisis – Africa Food Show Virtual Exhibition (AFS VE) co-located with Zhejiang Online Export Trade Fair – kicked off today. The 5-day show – which has the full backing of the Department of Commerce of Zhejiang Province and Zhejiang International Trade & Exhibition Co., Ltd – will play host to some of the most cutting-edge trends in food & agriculture and showcase ground-breaking new products and technologies that are set to help businesses thrive for the next decade. The global pandemic has put extraordinary pressure on businesses in the food sector to survive. There’s therefore a need to develop solutions that will keep agriculture safely running as an essential business, markets well supplied in affordable and nutritious food, and buyers still able to access and purchase food products and technology despite global trade restrictions and obstacles in logistics. Mr. David Wang, Founder and Chairman of MIE Group “I look forward to the work ahead,” MIE Group Board Chairman Mr. David Wang remarked, “We are a resilient, innovative organisation and we are dedicated to developing platforms and services that will strengthen global food trade. AFS VE is the timely solution we have designed to help food manufacturers, buyers, distributors and suppliers recover from the impact of COVID-19.” While the number of confirmed COVID-19 cases in Africa so far pales in comparison to other key markets, the disruption in supply chains is already evident in the food sector. The price of fertilizers has soared as farmers struggle to find more reasonably priced alternatives. Food processing companies are wondering how and where to get replacement parts for their production lines. Furthermore, some of the biggest exporters in the world have reduced their exports because they fear food shortage in their own countries. MIE Group’s Vice President of Sales & Marketing, Fadi Kaddoura said, “We understand the significance of this supply chain problem and in order to overcome it, we have meticulously gathered over 150 leading companies in the food industry from more than 14 countries in order to give you the opportunity to reconnect with your suppliers and continue doing business.” Dr. Nevine Gamaa, Minister of Industry & Trade, Egypt “We want to consider the Coronavirus pandemic as an opportunity, rather than an ordeal, and we have observed that despite it, we can actually continue to open up new markets,” observed Dr. Nevine Gamaa, Egypt’s Minister for Industry & Trade. “We hope that this exhibition will be the start of other similar exhibitions because this pandemic has compelled us to digitize rapidly and deploy the use of communication technology in our meetings and conferences.” Other high profile speakers that shared their astute market insights during the opening ceremony include: Mr. Dan Halstrom – President & CEO, US Meat Export Federation (USMEF), USA Mr. Anthony Muriithi – Director General, Agriculture and Food Authority, Kenya Mr. Yu Guibing – Director, Ziyang Municipal Bureau of Commerce, China Ms. Wairimu Mbarire – CEO, Retail Traders Association of Kenya Mr. Naji El Haddad – Regional Manager, UFI Mr. Isabirye Farouk Lubanga – Board Chairman, Busoga Grain Traders Company, Uganda Ms. Wairimu Mbarire, CEO, Retail Traders Association of Kenya “We are a powerful, united retail voice; and we drive and shape the retail agenda while making sure business owners and their priorities are represented,” emphasized Ms. Wairimu Mbarire, the CEO, Retail Traders Association of Kenya. “For me to see so many businesses in the food and beverage sector keen on doing business with Kenya is overwhelming. It is a show that our retail sector continues to grow as we proceed into the future.” AFS VE will keep the global food supply chain alive by connecting thousands of buyers, global manufacturers and suppliers through an exclusive virtual B2B environment equipped with advanced video conferencing capabilities. Beyond business, the platform will also drive thought leadership through its dedicated virtual conferences, live keynote presentations, moderated panel discussions and exclusive webinars. To see more of what’s on offer at the show, visitors can go to: www.globaltradeweek.com/afsG ONLINE EXPORT TRADE FAIR MAKE THEIR VIRTUAL DEBUT!
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