The Mountain Journal team
The Chinese market is eyeing an increase in Kenya’s coffee and tea production as China-Kenya Relations Cooperation seeks partnerships with key producers.
Investors trooped to Murang’a County which is earmarked for the piloting programme in the trade agreement for a session with the leaders in coffee, avocado, and tea sectors.
The 40-man delegation head Ms Betty Xu indicated the growing demand for Kenyan coffee and tea in the Chinese market for their 1.4 billion population.
The bilateral agreement will be piloted in three counties in Kenya including Murang’a before it is rolled out countrywide.
Murang’a produces 31,000 tonnes of coffee through the cooperative societies model.
The relationship with Murang’a farmers is led by a member of the Murang’a Investment Council and a former Kenya envoy to China, Ambassador Muthoni Gichohi.
Xu said imports from Kenya were too low with more coffee sourced from Ethiopian highlands.
“There is a huge market for coffee, tea, avocado, macadamia, and poultry from Kenya. China in return will help with the export of the modernized machinery to help reduce the cost of production,” she said.
She said that the China market of 1.4 billion population remains the largest consumer of products and services estimated at $10 trillion annually.
Last year, China bought tea estimated at $1.25 million and more than 413 tonnes of coffee from Kenya.
In the trade, the concept of the barter trade will be a mode of payment at the international level while farmers will be paid their dues by their cooperatives for the goods exported to the market.
A member of the delegation, Mr Michael Chi said in the agreement, China will help with the export of solar panels to lower the cost of production.
“Our message to Kenya is to upscale production of goods and commodities to enjoy the expanding overseas market,” said Michael.
Murang’a Governor Irungu Kang’ata said there was a need for local investors to exploit opportunities in the Chinese market.
“In this concept, the county government will not spend its resources but will link the farmers with the market,” said the governor.
Muthoni said the concept will fully link the farmers with the market, and in return enjoy the technology transfer to champion increased production of farm produce.
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