i DEPARTMENT OF AGRICULTURE, LIVESTOCK, FISHERIES, IRRIGATION AND COOPERATIVE DEVELOPMENT AVOCADO PROMOTION STRATEGY (2023-2027) COUNTY GOVERNMENT OF BUNGOMA ii FOREWORD The agriculture sector is the backbone of Kenya’s economy and a source of livelihood for most of the rural population. The importance of Agriculture has been captured in vision 2030 and in the Big Four priority agenda for the years 2018-2022, with emphasis on the importance of food and nutrition security for all Kenyans. Avocado has gained increased importance due to its nutritional value, as well as its export and processing potential. However, in spite of the importance, avocado farming in the county has been predominantly subsistence. In addition, institutional support and required infrastructure have been inadequate. The Bungoma County Avocado Promotion Strategy (BCAPS) is intended to provide a guide for the development and promotion of the avocado value chain. The strategy aims at improving the quality of avocado produce, increasing production and productivity, enhancing relevant infrastructure and strengthening avocado markets and marketing systems. Under the BCAPS, avocado value chain players are expected to employ the most contemporary methods and technologies for sustainable development. The county government will partner with stakeholders in the provision of services such as extension, training, research and development to ensure that they serve value chain actors efficiently and cost-effectively. This strategy reaffirms the commitment of the County department of Agriculture, Livestock, Fisheries, Irrigation and Cooperative Development to creating an enabling environment for the realization of the outlined avocado promotion goal and objectives. Stakeholders are urged to play their respective roles effectively to ensure the Bungoma County Avocado Promotion Strategy is successfully implemented. Dr. Monicah Salano Fedha County Executive Committee Member Agriculture, Livestock, Fisheries, Irrigation and Cooperative Development BUNGOMA COUNTY iii ACKNOWLEDGEMENT I wish to acknowledge all stakeholders who participated in the development of the Bungoma County Avocado Promotion Strategy. Special thanks go to Micro Enterprise Support Program Trust (MESPT) through Green Employment in Agriculture Program (GEAP), the United States Agency for International Development (USAID) through the Kenya Crops and Dairy Market Systems (KCDMS) project of RTI International, for providing resources for the development of this strategy. I also recognize and appreciate the Technical Working Group drawn from the Department of Agriculture, Livestock, Fisheries, Irrigation and Cooperative Development; Agricultural Sector Development Support Program (ASDSP),; Agriculture and Food Authority - Horticulture Crops Directorate (AFA-HCD); Department of Health and Sanitation; Department of Tourism, Environment, Water and Natural Resources; Office of the County Attorney; Community Research in Environment and Development Initiatives (CREADIS); and KTL Farming Limited for their consistent engagement from initial brainstorming workshops, technical reviews and final scrutiny of the strategy document. I wish to thank the County Executive Committee Member for Agriculture, Livestock, Fisheries, Irrigation and Cooperative Development for her invaluable leadership and guidance in the preparation of this strategy. We are grateful to all who contributed in one way or another to the development of this strategy document. Robert Juma Simiyu County Chief Officer - Agriculture and Irrigation iv EXECUTIVE SUMMARY The avocado fruit belongs to the family of lauraceae. It is found in tropical and subtropical regions. Cultivated species of avocado are native to Mexico, Central America and South America. The avocado fruit is uniquely high in healthy fat content, omega, vitamins A, B, C, E and K, 25 essential nutrients, phytochemicals, antioxidants, fibre, folate, magnesium and potassium. Thus, its nutrient density partly explains its widespread popularity among health-conscious buyers. Globally, avocado production is dominated by Mexico and tropical countries. Avocado production globally increased significantly from 5.7 million metric tons in 2016 to 7.1 million metric ton es in 2019. Avocados have gained a lot of popularity in recent years following an increase in global demand. The global avocado market is expected to grow at a rate of 5.72% from 2019 to reach a total market size of US$17.905 billion by 2025. Kenya is the world’s third-largest producer of avocados but only exports 10% of its total avocado production. The current avocado production in Bungoma County is promising, with an increase in acreage from 331ha in 2018 to 2,577 ha in 2020. The county is targeting to increase the acreage under avocado to over 4,570 Ha in the next five years. The County has a favourable policy framework and stakeholder goodwill that supports the development of the avocado value chain. There are several development partners supporting avocado tree nurseries establishment, technical training, sourcing and distributing of improved avocado varieties across the county. This necessitates the need to develop a County Avocado promotion strategy geared towards the export promotion and encouraging innovative market instruments that would increase smallholder farmers’ yields and improve the quality of their produce. The vision of the strategy is ‘A vibrant world-class avocado value chain for improved livelihoods’ whereas the strategic goal is to ‘enhance productivity and profitability of the avocado value chain into a commercially viable enterprise.’ The specific objectives include increasing production and productivity; improving the quality of produce; to enhance knowledge and skills; strengthening market and market systems; enhancing relevant infrastructure; to enhance mitigation and adaptation to the effects of climate change. The objectives will address key strategic issues identified in this strategy which include Low production and productivity, low-quality produce, inadequate knowledge and skills, weak Market and marketing system, lack of required infrastructure and effects of climate change. The implementation matrix provides specific interventions, activities, outputs, targets, responsible entities and budget estimates, which will inform an inbuilt framework for monitoring and evaluating performance and progress during the implementation of the strategy. A set of stakeholders and actors have been mapped, and their roles indicated for effective implementation of the strategy. Progress reports during the implementation of the strategy will be submitted to the County Agricultural Sector Steering Committee (CASSCOM) for action by partners and stakeholders. The strategy will be reviewed as the need arises, taking into consideration emerging issues and policy changes. v Table of Contents FOREWORD .................................................................................................................................... ii ACKNOWLEDGEMENT ................................................................................................................... iii EXECUTIVE SUMMARY .................................................................................................................. iv LIST OF FIGURES ............................................................................................................................ vi LIST OF TABLES .............................................................................................................................. vi ACRONYMS AND ABBREVIATIONS ................................................................................................ vii CHAPTER ONE: INTRODUCTION ...................................................................................................... 1 1.1 Background ........................................................................................................................................ 1 1.2 Overview of the Avocado sector in Kenya .......................................................................................... 1 1.3 Overview of the Avocado Sector in Bungoma ..................................................................................... 2 1.4 Justification ........................................................................................................................................ 2 1.5 Overview of Constitutional and Policy Context ................................................................................... 3 CHAPTER 2: SITUATIONAL ANALYSIS .............................................................................................. 5 2.1 Suitability Profile ......................................................................................................................... 5 2.2 Productivity Trend ....................................................................................................................... 7 2.3 Marketing .................................................................................................................................. 10 Avocado Value Chain Commercialization Matrix ....................................................................................................... 13 2.4 Cross-cutting issues ................................................................................................................... 17 2.5 Potentialities, Opportunities, Challenges & Constraints (POCC) ................................................. 18 CHAPTER THREE: STRATEGIC MODEL ............................................................................................ 19 CHAPTER FOUR: IMPLEMENTATION FRAMEWORK ....................................................................... 24 4.1 Implementation Plan ....................................................................................................................... 33 CHAPTER FIVE: MONITORING EVALUATION AND LEARNING, REPORTING AND REVIEW ............... 35 5.1 Monitoring, Evaluation, Accountability and Learning (MEAL) ........................................................... 35 5.2 Reporting ......................................................................................................................................... 35 5.3. Review of the Strategy .................................................................................................................... 35 vi LIST OF FIGURES Figure 1: Agro-ecological zones ............................................................................................................ 5 Figure 2: Monthly temperature ranges for Bungoma .............................................................................. 6 Figure 3: Rainfall amount (mm) for Bungoma in a calendar year ............................................................ 6 Figure 4: Production volumes of avocados in Kenya ............................................................................. 8 Figure 5: Kenya's Avocado Export Trends in Volumes ......................................................................... 11 LIST OF TABLES Table 1: Top 10 Avocado producing countries on the export market. 10 Table 2: Avocado Gross Margin Analysis 15 Table 3: POCC Analysis 18 Table 4: Stakeholder Analysis 32 vii ACRONYMS AND ABBREVIATIONS AAK: Agrochemical Association of Kenya ADS: Anglican Development Services AFA: Agriculture Food Authority DOALFIC: Agriculture, Livestock, Fisheries, Irrigation and Cooperatives ATC: Agricultural Training Centers ATDC: Agricultural Technology Development Centre ATVET: Agricultural Training and Vocational Education Centres BCAPS: Bungoma County Avocado Promotion Strategy CAGR: Compound Annual Growth Rate CAN: Calcium Ammonium Nitrate CASSCOM: County Agricultural Sector Steering Committee CREADIS: Community Research in Environment and Development Initiatives DANIDA: Danish International Development Agency EAMDA East Africa Market Development Associates EU: European Union FAO: Food and Agricultural Organization FAOSTAT: Food and Agriculture Organization Corporate Statistical Database FIPs; Farm Inputs Promotion FPEAK: Fresh Produce Exporters Association of Kenya GAPs: Good Agricultural Practices GEAP: Green Employment in Agriculture Project/Programme GFA: Company for agricultural projects abroad (Geselleshaft fur Agrarprojekte in Ubersee) GIZ Germany Development Cooperation HCD: Horticultural Crops Directorate ICIPE International Centre of Insect and Physiology Ecology ICT Information & Communication Technology KALRO: Kenya Agriculture and Livestock Research Organisation KCIC: Kenya Climate Innovation Centre KEBS Kenya Bureau of Standards KENaFF Kenya National Farmers Federation KEPHIS Kenya Plant Health Inspectorate Services KIE Kenya Industrial Estate KIRDI Kenya Industrial Research and Development Institute KMD: Kenya Meteorology Department Kshs: Kenya Shillings KTL: KTL Farming Ltd LH: Lower Highland LM: Lower Midland MD: Man Day MESPT: Micro Enterprise Support Program Trust DoALFIC Department of Agriculture, Livestock, Fisheries, Irrigation & Cooperatives MEAL: Monitoring, Evaluation, Accountability and Learning MRLs: Minimum Residue Levels NEMA: National Environmental Management Authority viii NGO Non-Governmental Organisation PCPB: Pest Control and Produce Board POCC: Potentialities, Opportunities, Challenges & Constraints RBM: Results-Based Management RTI: Research Triangle International TOT: Training of Trainer TVC: Total Variable Cost UK: United Kingdom UAE: United Arab Emirates UH: Upper Highlands UM: Upper Midland UNIDO: United Nations Industrial Development Organization US: United States US$: United States Dollar USDA: United States Department of Agriculture WHH: Welt Hungerhilfe IFPRI: International Food Policy Research Institute 1 CHAPTER ONE: INTRODUCTION 1.1 Background The avocado belongs to the family of lauraceae. It is a fruit tree found in tropical and subtropical areas. Cultivated species of avocado are native to Mexico, Central America and South America. Globally, avocado production is dominated by Mexico and tropical countries. According to FAOSTAT, avocado production was 5.7 million metric tons in 2016, which increased to 7.1 million metric tons in 2019. Avocados have gained a lot of popularity in recent years following an increase in global demand. The production of avocados in Mexico, the largest producer of this fruit worldwide, has more than doubled in the past decade. In 2020, Mexico produced approximately 2.39 million metric tons of avocados compared to 2010, when the production was 1.11 million metric tons (Eloise Trenda Jan 14, 2022). The global avocado market is expected to grow at a rate of 5.72% from 2019 to reach a total market size of US$17.905 billion by 2025(Research and Markets, ). The global avocado market is projected to register a Compounded Annual Growth Rate (CAGR) of 6.0% during the forecast period 2021-2026 (Modor Intelligence report, 2022). The avocado fruit is uniquely high in healthy fat content, omega, vitamins A, B, C, E and K, 25 essential nutrients, phytochemicals, antioxidants, fibre, folate, magnesium and potassium. Thus, its nutrient density partly explains its widespread popularity among health-conscious buyers. Although traditional consumers who buy it for health reasons have contributed to the rise in demand over the years, the intensifying awareness of its nutritional value and numerous health benefits among millennials and the growing middle class with their rising disposal income and dormant lifestyles has been significantly responsible for driving the interest in the fruit. 1.2 Overview of the Avocado sector in Kenya Although Kenya's commercial production of avocado began 40 years ago, avocados are now estimated to be the fourth most important national fruit crop, behind banana, mango and pineapple. Moreover, avocados have grown to represent 17% of Kenya's total horticultural exports (IFPRI 2020). Kenya is the world’s third-largest producer of avocados but only exports 10% of its total avocado production. In 2020, the area under avocado production was 26,482ha, with a production of 500,274MT valued at 9.4 billion. In the same year, Kenya was the leading exporter of avocados in https://www.statista.com/statistics/593211 https://www.statista.com/statistics/593211 https://www.globenewswire.com/en/search/organization/Research%2520and%2520Markets https://www.globenewswire.com/en/search/organization/Research%2520and%2520Markets 2 Africa and ranked 9th in the world. Avocados are exported mostly to France, Holland, the U.K., UAE and Germany. The major producing counties are Muranga, Kisii, Kiambu, Nyeri, Nakuru, Meru, Nyamira, Embu, Bomet, Kirinyaga and Bungoma. A major part of production is recorded from March to September, and smaller volumes are available from October to February (AFA- HCD, 2020) 1.3 Overview of the Avocado sector in Bungoma Avocado production in Bungoma County was initially done by smallholder farmers, and most varieties grown were local. Several farmers are now growing new, improved varieties like ‘Hass’ and ‘Fuerte’ county-wide, majorly for the export market. The 'Hass' Variety is developing strongly, as it is the most preferred among smallholder farmers in the county. The county has suitable agro ecological zones favourable for avocado production ranging from Lower Midland (LM) to Upper Midland (UM). The current avocado production in the county is promising, with an increase in acreage from 331ha in 2018 to 2,577 ha in 2020 with a productivity of 14Mt/Ha.(County Agriculture department report, 2020). 1.4 Justification There is high global demand for avocado fruits due to their nutritional value, but there is limited supply resulting from seasonal dynamics and a deficit in production. The global avocado market is projected to register a CAGR of 5.78 % during the forecast period 2020-2027 (Research and Markets). With the increased area under production (2577ha), the county is expected to generate an income of 3.4 billion annually. The avocado trees increase the forest cover acting as a carbon sink that reduces greenhouse gas emissions. Bungoma County has favourable climatic conditions throughout the year for growing avocados, both local and improved varieties. This enables the county production to coincide with peak demand in the international market, hence fetching better prices. The County has a favourable policy framework and stakeholder goodwill that supports the development of the avocado value chain. There are several development partners supporting avocado tree nurseries establishment, technical training, sourcing and distribution of improved avocado varieties across the county. 3 However, there are issues that have hampered the growth of the subsector, namely, Low productivity, Low-quality produce, Inadequate knowledge and skills on crop husbandry, weak market and marketing systems and lack of required infrastructure, especially the cold chain facilities, weak vertical and horizontal linkages within the value chain, and lack of trust among value chain players. This, therefore, necessitates the need to develop a County Avocado promotion strategy geared towards the export promotion and encouraging innovative market instruments that would increase smallholder farmers’ yields and improve the quality of their produce. 1.5 Overview of Constitutional and Policy Context There exists an extensive policy and legal framework that provides a basis for the development of this strategy. Some of the key policies and legal frameworks include. The Constitution of Kenya, 2010, provides for the right of every person to be free from hunger and to have adequate food of acceptable quality. Kenya Vision 2030 names Agriculture as one of the key sectors to transform Kenya into a newly industrializing, middle-income country providing a high quality of life to its citizens by 2030 in a clean and secure environment. It proposes that smallholder agriculture should be transformed from its current subsistence level marked by low productivity and low added value to an innovative, commercially oriented, commercially competitive, and modern agricultural sector. Agriculture Sector Transformation and Growth Strategy, 2019 - 2029 prioritizes increased small-scale farmer incomes, agricultural output and food security. National Agribusiness Strategy, 2012 seeks to remove barriers and create incentives for the private sector to invest in agribusiness and related business opportunities; invest public resources more strategically to trigger growth in agribusiness; make agribusiness systems more competitive, easily adaptable and ‘fleet footed’ in order to deal with dynamic markets and the opportunities they bring; and encourage institutional frameworks, which enable all actors to utilize market opportunities. 4 Agriculture Act 2012 seeks to promote and maintain stable agriculture, to provide for the conservation of the soil and its fertility and to stimulate the development of agricultural land in accordance with the accepted practices of good land management and good husbandry. The Crops Act 2013 provides for the growth and development of agricultural crops and for connected purposes. National Horticulture Policy, 2012 has its objective to accelerate and sustain the growth and development of the horticultural industry in order to enhance its contribution towards food security, poverty reduction, as well as employment and wealth creation. National Trade Policy 2017 seeks to facilitate Kenya’s transformation into a competitive export- led economy, enhance regional integration and widen participation in both domestic and international trade. National Food and Nutrition Security Policy, 2011 Seeks to increase the quantity and quality of food available, accessible and affordable to all Kenyans at all times and to protect vulnerable populations using innovative and cost-effective safety nets linked to long-term development. Agriculture, Fisheries and Food Authority Act, 2013: The Act provides for the establishment of the Agriculture, Fisheries and Food Authority to make provision for the respective roles of the national and county governments in agriculture, excluding livestock and related matters in furtherance of the relevant provisions of the Fourth Schedule to the Constitution and for connected purposes. The Crops (Horticulture Crops) Regulations, 2019: The purpose of these regulations is to promote, develop and regulate the growth of the horticulture industry to ensure growers and dealers meet produce quality and safety standards. Kenya Climate Smart Agriculture Strategy, 2017-2026: This strategy seeks to build resilience and minimize emissions from agricultural farming systems for enhanced food and nutritional security and improved livelihoods. 5 CHAPTER 2: SITUATIONAL ANALYSIS 2.1 Suitability Profile The County covers an area of 3,032.4 Km2, of which 2880 km2 is arable and suitable for avocado growing (CIDP 2018-2022). The County has suitable agroecological zones ranging from Lower Midland (LM) to Upper Midland (UM). Avocado production performs well in an altitude range of 800- 2100 m a.s.l. Depending on the variety. Avocados require deep, fertile clay-loamy and well-aerated soils with optimum pH of 5.5-6.5 (Crops Extension Pocket Handbook- Revised 2013). The County experiences two rainy seasons, long rains from March to June and short rains from September to November. The annual rainfall in the County ranges from 800mm (lowest) to 2,200mm (highest). The optimal average rainfall for avocado production is 1000mm p.a. Avocados require an annual temperature of 20 – 28 degrees centigrade. The annual temperature ranges for arable areas of Bungoma County vary between 12°c and 32°c., and Bungoma lies within the range (KMD Report Bungoma, 2021). Source: KMD Report, 2021 Figure 1: Agro-ecological zones 6 Figure 3: Rainfall amount (mm) for Bungoma in a calendar year Figure 2: Monthly temperature ranges for Bungoma 7 As per the 2019 population census, Bungoma County's total population was 1,670,570. (Male 812,146; Female 858,389). Labour is an important factor in production. However, avocado is not a labour-intensive crop. The peak demand for labour is during fruit harvesting periods which coincides with the planting season for maize from March to July. This introduces labour-related dynamics in the value chain. The County has a vibrant Agricultural Advisory Service, which is provided by the Department of Agriculture and other development partners. There is a need, however, to employ and strengthen the technical capacity of various service providers to offer standard advisory services. 2.2 Productivity Trend 2.2.1 Global Production Trends In 2019, Avocado Production all over the world, based on FAO Statistical Database, reached 7 million tons with a cultivated area of up to 726,000 ha. The American Continents still became the main centre of avocado production, with 5.2 million tons in the world. Table 1: Top 10 Avocado producing countries on the export market Country/region 2021 2020 2019 2018 2017 2016 Mexico 2,442,945 2,393,849 2,300,889 2,184,663 2,029,886 1,889,354 Dominican Republic 375000 375000 374000 376000 376000 371000 Peru 777,096 672,232 571,992 504,940 466,796 455,394 Indonesia 669,260 609,039 461,613 410,084 363,157 304,938 Colombia 979,618 829,147 535,021 445,075 308,166 294,389 Brazil 300,894 266,784 242,723 236,177 212,873 196,545 Kenya 416,803 322,556 264,032 233,923 217,688 176,045 8 United States of America 136,750 187,433 122,670 168,530 170,260 125,237 Venezuela 131,531 128,694 130,109 118,017 143,229 130,635 Israel 165,000 147,000 138,766 131,720 110,000 101,500 China 124,780 115,620 106,830 112,587 113,740 115,970 FAOSTAT. Retrieved 31 May 2022 2.2.2: Production Trends in Kenya Kenya was the leading exporter of avocado in Africa in 2020 and among the top 10 world's largest exporters, but only exported 10% of its total avocado production. The current national avocado production stands at 500,274 tons from an area of 26,482 Ha. This translated to a value of Ksh 9.4 billion. Avocado is produced commercially in different counties in Kenya. 70% of the avocado is grown by smallholder farmers who have 5-20 trees per household, 20% by medium-scale farmers who have over 100 trees and 10% from commercial plantations which have 10 hectares or more in production (HCD report 2020). Figure 4: Production volumes of avocados in Kenya 9 The leading County in avocado production is Murang’a which accounts for 31.0 percent by value of produce, followed by Kiambu, Nakuru, Kisii, Nyamira Meru and Bomet, which contributed 10.5, 7.4, 6.8, 5.8, 4.1 and 3.9 percent respectively of the total value. The National and County governments are supporting avocado production by providing free and subsidized avocado seedlings to farmers, capacity enhancement and offering an enabling environment for marketing. Source: AFA-HCD Report 2020 2.2.3: Bungoma County Production Trends (2018-2021). Avocado production in the county is mainly indigenous varieties with several upcoming farmers who have started growing Hass and Fuertes export varieties. ACREAGE(Ha) PRODUCTION (Mt) YEAR 2018 2019 2020 2021 2018 2019 2020 2021 331 1,202 2,577 2,592 3,733 2,850 2,030 2,780 Source: Validated data MOALFIC https://www.statista.com/statistics/593211/global-avocado-production-by-country/ 10 2.3 Marketing 2.3.1 Global Avocado Export Market More than 80% of the world’s avocado imports go into North America and Europe. In the coming four years, the Asian region (currently at 7%) will become a significant market since consumption in Japan and China is steadily rising. North America North America remains the world leader in importing avocados at 52% of the world’s imports, with the majority of imports coming from Mexico, followed by Peru, Chile, the Dominican Republic and Colombia. Prices fluctuate dramatically, just like Kenyan avocado prices. During the 2018-19 season, the USA imported 1,058,083 tonnes of avocados, up from 982,000 the previous year and a dramatic increase from 603,160 tonnes in 2013-14. More and more Americans are following the trend of eating avocados because of many of the perceived health benefits and its multi-use capabilities, such as salads, ice creams, sandwich fillings and smoothies. Canada is currently the sixth largest importing country at 93,551 tonnes of avocados and has been steadily increasing each year, from 46,139 imported tonnes in the 2013-14 season. Europe The European market is the second largest importing market in the world, importing 684,232 tonnes of avocados in the 2018-19 season, equating to 33% of the world’s imports and has more than doubled over the past 6 years from 307,358 in 2013-14. The main country contributing to the import amount is the Netherlands. They are the second-largest importing country in the world, accounting for 400,999 tonnes of avocados in the 2018-19 season. The summer supply of avocados in Europe is dominated by Peruvian producers with an abundant supply of Hass avocados. South Africa and Kenya have overlapping supply windows. In the European winter, Spain, Chile, Mexico and Israel take over. However, there is room between these supply seasons for new suppliers that can meet high retail standards. Hass avocados are most in demand due to their excellent ripening characteristics. Asia The Asian market contributes to 7% of the world’s imports of avocados. Japan is the main consumer of the Asian market and is the seventh largest importer in the world, importing 76,614 tonnes of avocados. However, the two countries whose demand is increasing the most are China 11 and South Korea. These two countries imported 4,223 and 534 tonnes in 2013, respectively. Imports have increased significantly over the past six years, up to 47,127 and 11,560 tonnes, respectively. Making them a viable trade market for countries such as Kenya, where we already have a government-negotiated supply contract with China. Other regions Other smaller markets around the world equate for the remaining 8% of the world’s imports. These countries include Russia, Eastern Europe, Australia, Other African counties and The Persian Gulf. These smaller markets have all experienced increases in demand over the past six years. However, these markets do not compare to the mass of North America and Europe. Therefore, these small markets are targeted by smaller producing countries that are often closer in proximity, which can meet the avocado demand. 2.3.2 Kenyan export trends Avocado exports from Kenya have been gradually increasing since 2015, with export volumes of 31,226 tonnes in 2015 to 72,049 tonnes in 2020 valued at Kshs. 978 million and 14.735 billion, respectively. According to the HCD 2021 Report, in 2019, Kenya’s avocado was mainly exported to the Netherlands ($32.07m), France ($18.02m), UAE ($17.60m), Spain ($11.50m) and Saudi Arabia ($10.00m). Key avocado marketing and export agencies in Kenya include Keitte Exporters, Sunripe, Farm Fresh, KTL Farming Limited, Mara Farming, Habex Exporters, Elgon Exporters, Biofarm, and Kakuzi, amongst others. Source: AFA-HCD Report 2020 2013 2014 2015 2016 2017 2018 2019 2020 Volume (Tons) 22,498 3,088 31,226 38,702 46,538 64,477 59,331 72,049 - 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 Volume of Kenyas' Avocados exports Figure 5: Kenya's Avocado Export Trends in Volumes https://www.statista.com/statistics/593211/global-avocado-production-by-country/ 12 Figure 6: Kenya's Avocado Export Trends in Value Source: AFA-HCD Report 2020 2.3.3 Kenyan Market The local avocado varieties in Kenya are marketed and sold locally, mostly informally. Some significant quantities are sold in supermarkets and food catering facilities as fruit salad. The main export segment mostly concerns the Hass variety with standard retail requirements. Other commercial varieties with increasing interest are Green Skin, Fuerte, Ettinger, Pinkerton, Reed, Ryan, and Unato. Hass avocado is the most popular variety of avocado in the world. 2.3.4 Standards and International Market Requirements The main export market for avocados is the EU. All exports must meet the Kenyan standard -KS 1758 and specific target market standards/ requirements. Pesticide residues are one of the crucial issues for fruit and vegetable suppliers. To avoid health and environmental risks, the European Union has set maximum residue levels (MRLs) for pesticides and other contaminants, such as heavy metals, in and on food products. Products exceeding the MRLs are withdrawn from the market. For substances that are not yet included in the European regulation, the default MRL of 0.01 mg/kg applies. Avocados and their products are mainly consumed raw without the “kill step” prior to consumption. Food safety guidelines must be observed at all stages of production, right from site selection, pest and disease control, harvest and post-harvest handling. 2013 2014 2015 2016 2017 2018 2019 2020 Value (Millions) 978 438 4,278 5,416 7,263 10,839 10,616 14,735 - 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 V al ue in M ill io ns o f K ES Value of Kenyas' Avocado exports https://www.statista.com/statistics/593211/global-avocado-production-by-country/ 13 Avocado Value Chain Commercialization Matrix AVOCADO VALUE CHAIN LIVELIHOOD TRANSITION LEVELS Year Yield(Mt) /season /acre Price (Ksh )/Fruit Produ ction Costs /Acre Gross Income/y ear(2 seasons) NI per /acre/year HH Size Area in acre s Annual output/a cre/year in tons/hh Annual NI NI Per Capita/p erson/An num NI Per Capita /day Transi tion Level (P, E, C) Y1 0 15 100000 0 - 100,000 5 1 0 - 100,000 -20000 -55 Poor Y2 0 15 30000 0 - 30,000 5 1 0 - 30,000 -6000 -16 Poor Y3 8 15 90000 240000 150,000 5 1 8 150,000 30000 82 Poor Y4 20 15 30000 600000 570,000 5 1 20 570,000 114000 312 Lower middle income Y5 32 15 40000 960000 920,000 5 1 32 920,000 184000 504 Lower middle income Y6 48 15 50000 1440000 1,390,000 5 1 48 1,390,000 278000 762 Lower middle income KEY Indices/day Category 200 Poor 284 Emerging 1200 Lower middle income 4000 Upper middle Income 14 2.3.5 Gross Margin Analysis Table 2: Avocado Gross Margin Analysis Years A. PRODUCTION OUTPUT Establishment year Year 3 Year 5 Year 10 Year 15+ Yields in kg - 4,800 11,200 16,000 19,200 Price per kg 15 15 15 15 15 Gross output - 72,000 168,000 240,000 288,000 Establishment costs and Variable costs Bush clearing 5,000 0 0 0 0 Ploughing 3,000 0 0 0 0 Holing 3,200 0 0 0 0 Manure 9,600 9,600 9,600 9,600 9,600 Seedlings 16,000 0 0 0 0 Planting Fertilizer (250g/tree), (50kg @5,600/- 2,240 0 0 0 0 Planting labor 800 800 0 0 0 Top derssing fertilizer (CAN, 50kg @2,500) 500 500 900 3600 5200 Management Pheromone traps (4 traps but double additions every3 years 0 2,400 1,600 14400 4800 Labor for setting Pheromone traps 0 1,000 1,000 2,000 2,000 Folliar feed (10 lts/acre @ 1200/ltr twice a year 0 24,000 24,000 24,000 24,000 Follia application labor (MD, 5) 0 3,000 3,000 3,000 3,000 Weeding (1,500/acre) 1,500 1,500 1,500 1,500 1,500 Harvesting (5/- per kg): The client harvests 0 0 0 0 Total Variable Costs (TVC) 41,840 42,800 41,600 58,100 50,100 Interest on W.C. 20% 8,368 8,560 8,320 11,620 10,020 -10000 0 10000 20000 30000 40000 50000 60000 Y1 Y2 Y3 Y4 Y5 Y6 A nn ua l O ut P ut (K gs /A cr ea ) Years (Y1-Y6) Avocado Value Chain Livelihood Transition Graph Annual output/acre /HH(Kgs) Area in acres Annual Net Income('00 ) 15 TTVC 50,208 51,360 49,920 69,720 60,120 Gross Margins/Acre season -50,208 20,640 118,080 170,280 227,880 GM/Ha/Season (251,040) 103,200 590,400 851,400 1,139,400 Season 2 Revenue 0 180,000 420,000 600,000 720,000 GM/Ha/Year (251,040) 283,200 1,010,400 1,451,400 1,859,400 Source: Research computation authors, 2022 2.3.5 Pre-and Post-harvest Handling These are good agricultural practices undertaken before and after harvesting. These processes determine productivity, quality and meet market requirements. The main harvesting season of Avocados in Kenya is from March to September. Pre-Harvest Handling Maturity indices need to be considered before harvesting. The maturity period of avocados is about 3 – 4 years after transplanting into the field for grafted plants. Since avocados do not soften on the trees, it is not easy to identify the right harvesting period. Tests are carried out to determine the harvesting stage of avocado fruits. Assessment of the correct harvesting time is important because it directly affects fruit quality, storage and shelf life. Harvesting Harvesting should be done early in the morning or late in the afternoon when it is cool. There are various types of harvesting Methods which are determined by the height and number of fruits. These include clipping fruits and using ladders or a speciallydesigned-pickingg tool. In the county, fruits are hand-harvested from trees when mature using ladders and picking poles. After harvesting, the fruits are gently put in either a bucket or a harvesting bag. Post-Harvest Handling i) Postharvest treatment: This is the treatment and care given to fruits before reaching the pack house. The County government does not have the facility to carry out treatment of the fruits before transportation. This is normally done by exporting companies in their pack houses based in Nairobi. ii) Refrigeration: This county has no cold chain facilities to support the subsector. Temperature control of fruits during the post-harvest stage is the most important factor that helps maintain the quality and increase the shelf life of many fruits. It is also important to ensure that the storage temperature will not be lower than that established for the fruit; otherwise, chilling injury can occur. 16 iii) Transport and storage: The county doesn’t have any storage facility instead, all exporting companies hire facilities in Nairobi. Cold chain transport system facilitated by private investors. Before processing the fruit, the lot shall be sampled in order to detect quarantine pests and diseases and determine the general appearance of the fruit and its quality (stains, discolourations, injuries, mechanical damage, etc.). iv) Packaging: Packing is normally done in hired facilities in Nairobi. When the avocado reaches the packinghouse, the fruits of different batches are separated. The origin of the fruit, supplier, date, etc., should be registered. Fruits are then size and quality graded, packed into boxes as determined by the importing countries and pre-cooled prior to transportation. The packaging material varies according to the market, being cardboard, plastic, or wood. The most common containers are single-wall corrugated fibreboard or wooden boxes. A trade description must appear on one end of the package and includes the name and address of the packer, the word ‘avocado’, variety, grade, count and or weight. v) Processing Generally, Avocado is served raw (ripe), though it can be processed into juices, shakes, ice creams, dips, pastes and purees. The county has no single processing facility; however, we have other processors in the country that source produce from Bungoma County. 17 Bungoma County Avocado Value Chain Business Model 2.4 Cross-cutting issues i) Gender: Women and youth, despite playing a critical role in the avocado production process, are disadvantaged by the land tenure system, land use, ownership and farm resource allocation. Generally, land is owned by man and proceeds realized from the sale of avocados are allocated by man. Women and youth lack collateral to access loans using land as security, and the title deed is owned by the man. There is low youth participation in agriculture due to negative perceptions. ii) Infrastructure: Inadequate supportive infrastructure in the value chain like energy, collection centres, cold chain storage facilities, transport and Water& irrigation. iii) Emerging and Re-emerging diseases: There is a high risk in avocado production and marketing in relation to diseases like HIV/AIDS and Covid19, affecting access to labour, market and transport where resources are diverted to treat the sick. iv) Multiple taxations: There are also multiple fees charged at every stage, including KEPHIS tests, KEBS tests, inter-county cess etc., that increase the cost of avocado production. v) Drug and Substance Abuse; This is rampant among the youth and apparently critical in providing labour for the Avocado value chain. 18 vi) Climate Change: effects of climate change have affected weather patterns. The amount of rainfall received and temperature keep fluctuating. The low amount of rainfall received affects production as avocado has a high-water requirement of around 1000mm p.a. When above-normal rains are received, floods can destroy the crop, especially young avocado plants. vii) Access to finance: there is generally low access to financial services attributable to inadequate financial knowledge and skills among actors, lack of collateral, risk averseness, limited financial products towards agro-based enterprises, and slow implementation of the warehouse receipt system, amongst other factors. 2.5 Potentialities, Opportunities, Challenges & Constraints (POCC) This is the analysis of the potentiality and opportunities. Challenges and constraints relating to the avocado. Table 3: POCC Analysis Potentially Challenges 1. A large local population offers a potential market with increasing sensitivity to healthy eating habits 2. Formation/ Establishment of processing industries 3. Establish cold chain facilities 4. Establishment of the quality management system. 5. Research and development 6. Availability of land 7. Suitable Climatic Conditions 8. Enabling Policy Environment 9. Availability of Labour 10. Availability of Extension services 11. Suitable soils 1. Low adherence to required market standards 2. Inadequate market information 3. Low per capita consumption of avocado in Kenya 4. Low adoption of popular avocado varieties 5. Inadequate harvesting tools 6. Inadequate technical skills and knowledge 7. Quarantine Pests and diseases 8. Lack of post-harvest handling facilities 9. Land fragmentation into economic units 10. Unfavorable Land use, ownership and access 11. Declining soil fertility 12. Competition for land from other enterprises Opportunities Constraints 1. Increasing local and global demand for avocados. 2. Existence of several avocado marketing and export entities 3. The harvesting season coinciding with the international market peak demand 4. Availability of exporting companies in the county 5. Availability of good road network 6. Political good will 7. Contract farming 8. Certification 1. Changing International Market Standards and Requirements 2. Price Fluctuation 3. Climate change effects 4. Trade barriers 19 CHAPTER THREE: STRATEGIC MODEL This chapter outlines the Vision, Mission, Goal, Strategic objectives, Strategic Issues and Interventions that will enhance the development of the Avocado Value Chain in Bungoma County. Vision: A vibrant world-class avocado value chain for improved livelihoods Mission: “To transform the avocado value chain in Bungoma County into an inclusive commercially viable enterprise through the promotion of improved varieties for both local and export markets leading to sustainable income, employment creation, food and nutrition security. Goal: To enhance the productivity and profitability of the avocado value chain into a commercially viable enterprise. Specific Objectives 1. To increase production and productivity 2. To improve the quality of produce 3. To enhance knowledge and skills 4. To strengthen market and market systems 5. To enhance relevant infrastructure 6. To enhance mitigation and adaptation to the effects of climate change This strategy identified five key strategic issues affecting the development of the Avocado value chain development in Bungoma County in an in-depth situation analysis with corresponding objectives designed to address the challenges. The five strategic issues are;- 1. Low production and productivity 2. Low-quality produce 3. Inadequate knowledge and skills 4. Weak Market and marketing system 5. Lack of required infrastructure 6. Effects of climate change 20 Strategic Issue 1: Low avocado fruit production and Productivity The current production per unit area in the county is low. There is a need to increase the area under production and yield in order to meet both local and international market demand. Strategic Objective To Increase avocado production and productivity in Bungoma County. Strategic Interventions In collaboration with stakeholders, the County Government shall support: i) Promote the adoption of high-yielding avocado varieties. ii) Establishment of nurseries and mother blocks to ease access to quality planting material. iii) Capacity building of value chain players on good agricultural practices iv) Promotion of climate smart innovations and green transformation technologies v) Map out suitable areas for avocado production in all wards and sub-counties vi) Carry out a feasibility study for the avocado value chain. vii) Carry out a study to get the economic area for avocado production. viii) Enhance soil analysis in areas/farms suitable for avocado production. ix) Promotion of access to affordable avocado farm inputs. x) Promote efficient water use technologies. Strategic Issue 2: Low-quality produce Most avocados produced in the county are local varieties which are not preferred by the domestic, export market and agro-processers due to the low-fat content. Low adoption of good agricultural practices in avocado production lead to low quality of the produce. Strategic objective To improve the quality of avocado produce Strategic interventions 1) Promotion of high-quality export varieties 2) Promotion of good agricultural practices across the avocado value chain. 3) Enhancing knowledge and skills of farmers and all value chain actors. 21 4) Promoting food safety in the avocado value chain 5) Support harvesting of mature avocado fruits through the use of technologies such as oil content testing kits and capacity building. 6) Creating pest-free zone using the area-wide approach. Strategic Issue 3: Inadequate Knowledge and Skills There is limited knowledge and skills in commercial avocado production and marketing since, traditionally, avocado has been viewed as an ordinary fruit tree. Strategic Objective To enhance knowledge and skills among the avocado value chain players Strategic Interventions i) Capacity building of value chain players on avocado production and marketing through barazas, field days, demonstrations, exchange visits etc. ii) Training of extension service providers as Trainer of Trainees (TOT) on the avocado value chain using the ATVET model iii) Establish central information-sharing platforms at the County level. iv) Establish centres of excellence for sharing skills, knowledge, technologies and innovations for ease of avocado adoption. Strategic Issue 4: Weak Market and marketing system The county has a weak network of avocado value chain actors, which has led to poor coordination, market information asymmetry, and inadequate linkages. This has led to limited accessibility to markets resulting in low business development and low incomes. Strategic Objective To strengthen market and market systems Strategic Interventions i) Establishment of marketing organizations for aggregation, quality assurance, access to markets 22 ii) Identification of potential local and international markets for all varieties of avocado iii) Establishment of market linkages iv) Promote adherence to market requirements and standards. v) Development of marketing instruments for market access and price stability vi) Development and promotion of produce and product brands vii) Development of market information-sharing platforms viii) Development of effective traceability mechanisms ix) Establish handling and processing units within the county. Strategic Issue No. 5: Lack of required infrastructure Bungoma County lacks the required infrastructure for avocado production and handling. These facilities include harvesting shades, aggregation centres, pack houses and cold chain facilities. The county does not have any agro-processing plant for avocados. Strategic Objective To support the establishment of the required infrastructure for the avocado value chain. Strategic interventions i) Promote irrigation, rainwater harvesting technologies and other opportunities. ii) Support the establishment of post-harvest handling facilities (harvesting shades, aggregation centres, pack houses and cold chain facilities) iii) Promote value addition and agro-processing facilities. iv) Promote investment in the avocado industry. Strategic Issue 6: Effects of climate change Strategic Objective To enhance mitigation and adaptation of the effects of climate change Strategic Interventions i) Promotion of conservation agriculture (minimum tillage, crop rotation and maximum soil cover) ii) Promotion of organic farming 23 iii) Promotion of Integrated Pest Management (IPM) iv) Promotion and adoption of renewable energy sources v) Promotion of establishment and restoration of nature to absorb carbon. vi) Promotion of the use of biodegradable materials in packaging vii) Promote integrated soil and water conservation measures. viii) Include a crop insurance cover in the production of avocados. 24 CHAPTER FOUR: IMPLEMENTATION FRAMEWORK Table 4. 1: Implementation Matrix Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Strategic Issue 1: Low production and productivity Strategic Objective 1: To increase avocado production and productivity Promote availability and accessibility of clean planting material of suitable and improved varieties Sensitization of extension officers, nursery operators and farmers on export varieties 20 Sensitization trainings conducted. Number of Sensitization trainings conducted. Quarterly CGB, KEPHIS, AFA, Avocado development partners 4,000,000 Acquisition of Improved avocado varieties 135,000 Improved avocado varieties acquired. (Hass, Fuerte and Local). No of improved varieties acquired. 2 years FARMER, CGB, Partners 27,000,000 Establish new and strengthen existing nurseries and mother blocks for quality seedlings production 5 new nurseries established, 5 existing nurseries strengthened, 4 mother blocks established (both for root stalk and scion) Number of Nurseries established 2yrs CGB/KEPHIS/AFA and Partners 10,000,000 Certification of nurseries and mother blocks 10 Certified nurseries and 4 mother blocks (both for root stalk and scion) Number of certified nurseries 5 yrs CGB/KEPHIS/AFA 500,000 Capacity building of avocado value chain players on good agricultural practices ToT training 45 Extension Service providers trained No of service providers trained. No. of training conducted 4yrs CGB, AFA, KALRO, KEPHIS 1.625M Farmer’s training 45,000 Farmers trained No of farmers trained 4yrs CGB, AFA, KALRO, KEPHIS 3.6M Promotion of climate smart innovations and green transformation technologies Establish demonstration plots 45 demonstration plots established No. Of demo plots established 2yrs CGB, AFA, KALRO, KEPHIS 5.4M Carry out farmer exchange learning visits 5 exchange learning visits carried out No. Of exchange visits No. of farmers participating 2yrs Farmers, CGB and other stakeholders 2.5M 25 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Promotion of access to affordable avocado farm inputs Provision of subsidized seedlings 365,000 seedlings accessed at a subsidized price No. of seedlings purchased by farmers 3yrs Farmers, CGB and other stakeholders 36,500,000 Subsidized organic fertilizer Available cost- effective organic fertilizers Tons. of fertilizer purchased by farmers 5yrs Farmers, CGB and other stakeholders 0 Subsidized bio pesticides Available cost- effective bio pesticides Quantity of bio pesticides purchased by farmers 5yrs Farmers, CGB and other stakeholders 0 Promote efficient water use technologies Construction of water pans 9 water pans constructed. No. of water pans constructed. 4yrs Farmers, CGB, NEMA and other stakeholders 10.8M Establishment of demonstration sites for water harvesting with storage tanks 45 demo sites established No. of demo sites established 5yrs Farmers, CGB and other stakeholders 4.5M Enhance profitability of avocado Map out suitable areas for avocado production in all wards and sub counties Soil studies/analysis/tests KMD reports County Suitability map 1st yr Farmers, CGB and other stakeholders 2.7M Carry out feasibility study for the avocado value chain 1 survey done County avocado feasibility report 1st yr Farmers, CGB and other stakeholders 2M Carry out a study to get the economic number of trees for avocado production. Gross margin analysis of different number of trees along the years in production Gross margin report 5yrs Farmers, CGB and other stakeholders 1M Strategic Issue 2: Low quality of avocado produce Strategic Objective 2: To enhance the quality of avocado produce Promotion of good agricultural practices across the avocado value chain. Capacity building of extension officers and other value chain actors on good agricultural practices 45 Trainings conducted at ward level Number of GAP trainings conducted Quarterly CGB, HCD, KEPHIS, KARLO Avocado development partners 9,000,000 Promoting food safety in avocado value chain Capacity building of extension officers and 45 Trainings conducted at ward level Number of food safety trainings conducted Quarterly CGB, KEPHIS, HCD, Avocado development partners 9,000,000 26 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget other value chain actors on food safety. Carry out water and soil tests and analysis Support harvesting of mature avocado fruits through use of technologies such as oil content testing kits and capacity building. Sensitization of avocado growers and traders on maturity indices 45 Trainings conducted at ward level Number of trainings conducted Semi- annually Extension staff, HCD, Exporters 9,000,000 Surveillance and inspection of Avocado fruit maturity 45Trainings conducted at ward level Number of trainings conducted Semi- annually Extension staff, HCD, Exporters 9,000,000 Procurement of maturity testing kits 9 refractometers to be issued Number of refractometers issued 2nd Year HCD, county extension officers Avocado development partners 1,000,000 Creating pest free zone using the area wide approach. Sensitization of farmers, county extension service providers 9 trainings to be conducted at sub counties Number of trainings conducted. Semi- annually CGB, HCD, KEPHIS, KARLO, Avocado development partners 900,000 Establishment of community pest surveillance units 45 units established No of units established Annually CGB/Partners 1,000,000 Strategic Issue 3: Inadequate Knowledge and Skills Strategic Objective 3: To enhance avocado knowledge and skills Capacity building of farmers on avocado production and marketing Carry out Field days 90 Field days carried out No. of farmers reached. No. of field days conducted 4yrs Farmers, CGB and other stakeholders 9,000,000 Set up Farmer Field Schools (FFS) 45 FFS established No. of FFS established 4yrs Farmers, CGB and other stakeholders 4,500,000 Conduct public barazas 450 Barazas carried out No. of barazas No. of farmers reached 4yrs Farmers, CGB and other stakeholders 4,500,000 Training of extension service providers as Trainer of Trainees (TOT) on avocado value chain using the ATVET model Carry out training 5 trainings carried out -No. of trainings carried out -No. of extension service providers trained. 4yrs Farmers, CGB and other stakeholders 1,650,000 27 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Support establish central information sharing platforms at County level. Establish a Central information sharing platform 1 platform established at the county No. of Information relayed on the plat form 4yrs CGB and other stakeholders 5M Support establish centers of excellence for sharing skills, knowledge, technologies and innovations for ease of avocado adoption. Establish centers of excellence 46 centers of excellence established No. of centres of excellence 4yrs Farmers, CGB and other stakeholders 10M Strategic Issue 4: Weak Market and Marketing Systems Strategic Objective 4: To strengthen Market and Market Systems Establishment of marketing organizations for aggregation, quality assurance, access to markets Mapping and Capacity building of stakeholders on the need for collective marketing 10 stakeholders’ meetings held No of meetings held Annual CGB/Export Organizations 5,000,000 Mobilization meetings, formation and registration of marketing organizations 9 avocado Cooperative Organizations registered No of avocado cooperative societies registered Annual CGB 4,500,000 Establishment of Collection centers 45 avocado collection centers established No. of avocado collection centers established Annual CGB/Marketing Organizations 9,000,000 Identification of potential local and international markets for all varieties of avocado. Stakeholder engagement on potential market avenues 10 stakeholder meetings held No of meetings held Annual CGB/Export Organizations 5,000,000 Market analysis and market niche selection 5 technical analysis meetings held No of meetings held Annual CGB/Marketing Organizations 1,500,000 Stakeholder engagement on selected market niche 5 stakeholder meetings held No of meetings held Annual CGB/Export Organizations 2,500,000 Establishment of market and financial linkages Capacity building of stakeholders on market linkage instruments (MoUs, Contract farming Agreements, 5 stakeholder training fora held No of fora held Annual CGB/Market Organizations 2,500,000 Development of market linkage instruments (MoUs, Contracts, Agreements) 5 technical drafting meetings held No of meetings held Annual CGB/Marketing Organizations 1,500,000 28 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Sensitization on financial linkages 10 stakeholder meetings held No of meetings held Annual CGB/Export Organizations 5,000,000 Promote adherence to market requirements and standards Identification of niche market standards and requirements 5 technical meetings held No of meetings held 5 years CGB/Marketing Organizations/ Regulatory Institutions 1,500,000 Capacity building of stakeholders on market requirements and standards 10 stakeholder meetings held No of meetings held 5 years CGB/Export Organizations/ Regulatory Institutions 5,000,000 Development and promotion of produce and product brands Produce branding meetings with stakeholders 10 meetings held No. of meetings held 5 years CGB/Market Organizations/Processi ng organizations 5,000,000 Product prioritization meetings with stakeholders 10 meetings held No. of meetings held 5 years CGB/Market Organizations/Processi ng organizations 5,000,000 Development of market information sharing platforms Capacity building of stakeholders on avocado market information management 5 stakeholder meetings held No. of meetings held Annual CGB/Export Organizations 2,500,000 Establish a central county unit for avocado information management at MoDOALFIC 1 unit for market information management established No. of functional units established 1st Year CGB/Market Organizations 2,500,000 Development of effective traceability mechanisms Capacity building of stakeholders on traceability mechanisms 10 stakeholder meetings held No. of meetings held Annual CGB/ Market Organizations/Regulato ry Institutions 2,500,000 Establish handling and processing units within the county Construction and equipping of handling/processing units PPPs formed No. of processing/handling unit constructed 3 years CGB/Market Organizations 500M Strategic issue no.5: Lack of required infrastructure Strategic objective 5: To enhance relevant supportive infrastructure Support establishment of post-harvest handling facilities Establishment of avocado aggregation centers 9 aggregation centres established No of aggregation centres established 5years CGB/Partners 2,000,000 29 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Establishment of collection centres and cold storage facilities 2 collection and cold storage facilities established No of collection and cold storage facilities established 5 yrs CGB/Partners 80,000,000 Establishment of pack houses I pack house established No of pack houses established 5 years CGB/Partners 25,000,000 Promote value addition and agro-processing facilities Establish Avocado agro processing plant 1 agro-processing plant established Number of agro- processing plants established 4th Year CGB/Private investors/ Development partners 300,000,000 Promote investment in avocado industry Benchmarking trip for learning on new avocado production and agro processing technologies and 2 trips undertaken Number of trips done 1st Year CGB/Private investors/Development partners 4,000,000 Networking with investors 1 ICT hub established Number of ICT hubs established 1st Year CGB/Private investors/Development partners 5,000,000 Capacity Building of policy makers on avocado value chain 5 meetings held Number of trainings held Annually CGB/Private investors/Development partners 5,000,000 Public Private partnerships Business forums 5 for a held Number of for a held Annually CGB/Private investors/Development partners 2,500,000 Strategic Issue 6: Effects of climate change Strategic Objective 6: To enhance mitigation and adaptation of the effects of climate change Promotion of conservation agriculture (minimum tillage, crop rotation and maximum soil cover) Capacity building of farmers on conservation agriculture 360 farmer training initiatives undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 3,600,000 30 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Capacity building of extension service providers on conservation agriculture 450 training initiatives undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 4,500,000 Establishment of on- farm demonstration plots 45 demo plots established Number of demo plots established 5 years CGB/Private investors/Development partners 9,000,000 Acquisition of conservation agriculture implements for hire Assorted implements acquired per sub- county Number of assorted implements acquired per sub-county 5 years CGB/Private investors/Development partners 90,000,000 Promotion of organic farming Capacity building of farmers on organic farming 360 farmer training initiatives undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 3,600,000 Capacity building of extension service providers on organic farming 450 training initiatives undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 4,500,000 Carry out demonstrations on organic farming 45 demo plots established Number of demo plots established 5 years CGB/Private investors/Development partners 9,000,000 Promotion of Integrated Pest Management (IPM) Capacity building of farmers on IPM 360 farmer training initiatives undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 3,600,000 Capacity building of extension service providers on IPM 450 training initiatives undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 4,500,000 31 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Establishment of community pest surveillance units 45 Surveillance units established to operate continuously Number of Surveillance units established 5 years CGB/Private investors/Development partners 2,000,000 Promotion and adoption of renewable energy sources Capacity building of value chain players on renewable energy sources 450 trainings and sensitization fora undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 3,600,000 Subsidizing renewable energy investments Assorted implements acquired per sub- county Number of assorted implements acquired per sub-county 5 years CGB/Private investors/Development partners 90,000,000 Promotion of establishment and restoration of nature to absorb carbon Sensitization of communities on agro forestry 450 community sensitization fora undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 3,600,000 Promotion of carbon credit programmes 360 promotional fora undertaken Number of fora held 5 years CGB/Private investors/Development partners 3,600,000 Establishment of agro forestry tree nurseries 236 tree nurseries established Number of agroforestry tree nurseries established 5 years CGB/Private investors/Development partners 9,000,000 Promotion of use of biodegradable materials Sensitization of value chain players on biodegradable materials 360 sensitization fora held Number of sensitization fora held 5 years CGB/Private investors/Development partners 3,600,000 Enforcement on use of biodegradable materials 45 demo plots established Number of demo plots established 5 years CGB/Private investors/Development partners 9,000,000 32 Strategic Intervention Key Activities Key Output/Target Output Indicator Time Frame Responsible Persons Budget Promote integrated soil and water conservation measures Capacity building of actors on soil and water conservation measures 360 farmer training initiatives undertaken Number of training initiatives undertaken 5 years CGB/Private investors/Development partners 3,600,000 Establishment of soil and water conservation structures 45 conservation structures established Number of conservation structures established 5 years CGB/Private investors/Development partners 9,000,000 Include a crop insurance cover in the production of avocado. Encourage farmer to insure their avocado trees Avocado trees insured No. of farmers taking insurance 5yrs CGB/Insurance companies/Developme nt partners 10M 33 4.1 Implementation Plan 4.1.1 Institutional Framework and Stakeholders Analysis The successful implementation of this strategy will depend on the partnership between the County Government of Bungoma and particularly the Department of Agriculture, Livestock, Fisheries, Irrigation and Cooperatives with the various stakeholders. These partners include other County Government departments, the national government and its institutions, other county governments, bilateral and multilateral institutions, non-state actors like International and local NGOs, and Private Sector. Table 4: Stakeholder Analysis Category Stakeholders Roles National Government National Government Agencies Regulations, Laws, Policy and Strategy, Funding, Personnel and infrastructure, Incubation licensing, technology development and law enforcement. Council of Governors CoG institutions Consultations among the county governments and National governments, Sharing of information on the performance of counties in the execution of the functions including implementation of this strategy Other County Governments Other Counties Inter county trade and capacity development County Government of Bungoma Agriculture, Livestock, Fisheries, Irrigation and Cooperatives. Coordination, Implementation of the strategy, Extension services, Capacity building, reporting and review. Trade, Industrialization and Energy. Implementation of the strategy, Capacity building, market information and infrastructure. Roads, Infrastructure and Public Works Construction and maintenance of access roads and other infrastructural facilities County Assembly of Bungoma. Approval of county plans, budgets and oversight roles Finance and Economic Planning. Planning and budgeting Education and Vocational Training. Implementation of the curriculum Training and quality assurance. Information, Communication Technology (ICT). Innovation and Technological Support Public service management and administration. Mobilization, sensitization and enforcement Gender, Culture, Youth and Sports. Implementation of the strategy (Cross cutting issues) and Capacity building of the youth. Health and sanitation Promoting water and sanitation hygiene Regional Economic Blocks The Lake Region Economic Block, Coordinating and facilitating service delivery and development on behalf of stakeholders (Promotion of trade, investment and development) Regulatory Bodies NEMA, WRA, KEBS, KEPHIS, PCPB, AFA, Regulatory functions (Environmental, water use standardization, Sanitary and phytosanitary regulations, traceability and food safety, registration and regulation of agrochemicals 34 Development Partners DANIDA, MESPT, GIZ, USAID, FAO, RTI, EAMDA, WHH, GFA, UNIDO, KCIC Capacity building, support implementation and financial support Non-State Actors KENAF, ADS, VI Agroforestry CREADIS, Civil Societies, Capacity building, support implementation, financial support and advocacy. Private Sector/ Value Chain Actors Input dealers (Agro dealers. Agrochemical, Mechanization companies,) Provision of inputs and capacity building Buyers (Exporters, Marketing agents, agro processors and local traders Markets, Distribution and processing of produce. Transporters and Service Providers. Transport services Producer and marketing Organisation, (Cooperatives, Common Interest Groups, producers,) Market access, training, advocacy, Market linkages, mobilization, produce aggregation, lobbying, capacity building, and financial mobilization Horticulture Industry Associations Fresh produce Exporters Association of Kenya (FPEAK), Avocado Society of Kenya Agrochemical Association of Kenya (AAK), Agro-dealers Association Lobbying, offering technical services and representing members’ interests in stakeholders’ meetings. Promote safe and effective use of pesticide chemicals. Finance Institutions Banks & Microfinance Institutions. Provision of Credit facilities Finances, Training. Research, Training and Education Institutions. KALRO, Universities, ATC, KIE, ATDC, KIRDI, TVETs, ICIPE, Research, Training and Development 4.1.2 County Coordinating Unit The County Government of Bungoma will establish a County Coordinating Unit from amongst key departments and stakeholders to monitor the progress and implementation of the strategy and resource utilization. Furthermore, regulations will be developed on the utilization of resources. 35 CHAPTER FIVE: MONITORING EVALUATION AND LEARNING, REPORTING AND REVIEW This chapter outlines monitoring, evaluation, review and reporting of the planned activities and interventions with the incorporation of learning and sustainability measures. 5.1 Monitoring, Evaluation, Accountability and Learning (MEAL) A systematic and robust monitoring and evaluation (M&E) will be pegged on coherent projects and Programmes designed for the implementation of the strategy. The implementation design will have sound internal logic articulating what changes the strategy intends to achieve and how it expects to do so. The MEAL will be an integral component of this strategy. The strategy logic will be synthesised into a results framework and an associated set of indicators for tracking progress using the Results-Based Management (RBM) approach. Section 47 (1) of the County Government Act 2012 requires counties to develop a performance management plan to evaluate the performance of the County Public Service in the implementation of county policies and strategies. Therefore, MEAL shall provide specific, measurable, time-bound performance indicators and citizen participation. The M&E process will be undertaken by the Department of Agriculture, Livestock, Irrigation and Cooperatives in unification with the county coordinating unit. 5.2 Reporting The nature and scope of reporting will include Progress made against Plan, Deviations and the causes of deviations from the plan if any, Challenges and proposed solutions to issues that adversely affect the implementation, Corrective measures and the lessons drawn from the process of implementation. The report will be submitted to County Agricultural Sector Steering Committee (CASSCOM) for action by partners and stakeholders. The control mechanism will include an Action plan and performance targets, Management reports, Budgets and the implementation Programme matrix. 5.3. Review of the Strategy This strategy shall be reviewed as the need arises, taking into consideration emerging issues and policy changes. County Government of Bungoma Bungoma Municipal Building- Office of the Governor Opposite Huduma Centre P.O.Box 437-50200 Phone: +254 (005)30343 Email: info@bungoma.go.ke