Hundreds of smallholder avocado farmers in Murang’a County have received a Ksh. 31 million bonus payout by agribusiness firm Kakuzi this week. The farmers, who are part of the Kakuzi 3,500 strong smallholder program, have begun to receive their bonus payments for quality Hass avocado fruit earlier delivered to the firm.
Through the program, farmers are encouraged to plant the Hass avocado variety due to its popularity and ability to attract reasonable prices in the international market. Kakuzi has 3,500 smallholder farmers, ten active smallholder groups, and seven active out growers. The smallholder program is a deliberate Kakuzi community initiative geared at investing in the sustainable supply of quality fruit directly from the source. This way, Kakuzi can ensure the full value gets back to the farmer and traceability can be managed.
Speaking when he confirmed the bonus payments, Kakuzi Managing Director Mr. Chris Flowers said, “Ahead of the Christmas festivities, Kakuzi confirms that we have commenced bonus payments to our avocado smallholder farmers. The total Payment to smallholders and out-growers this season is Kshs 31.4 million, and this represents 87% of net returns.”
The latest Kakuzi ESG report titled Future-proofing agriculture confirms that its Murang’a county-based agricultural production fields, the firm is part and parcel of the surrounding community. On an average day, Kakuzi employs 3,000 people, with more than 5,000 school children attending public school learning facilities within its boundaries.
At the launch of the Kakuzi 2020 ESG Report, Mr. Flowers stated, “Consistent with ESG standards, we have put money and human capital resources where our mouth is, and have over the last four years paid out over Ksh. 900 million in dividends to our 1,300 shareholders and Kshs 260 million to smallholder avocado farmers, not including this year’s payment.”