Government pushes value addition as Nairobi International Trade Fair opens
By Chemtai Kirui, NAIROBI,
The government has renewed its call to end the export of raw agricultural produce, pledging aggressive investment in agro-processing and value addition to raise farmer incomes, create jobs, and drive economic growth.
Speaking at the opening of the 2025 Nairobi International Trade Fair at Jamhuri Park, President William Ruto told farmers, traders and exhibitors that agriculture could no longer rely on exporting commodities in unprocessed form.
“For decades, we have exported our tea, coffee, hides and skins in raw form only to import them back at a premium. This model must end,” he said.
Ruto unveiled plans for new industrial infrastructure and called for structural reform in agricultural trade. The fair, scheduled from September 30 to October 6, gathers stakeholders from across the country and region to showcase advancements in agriculture and commerce.
“To move forward, we must capture value here at home, not export our raw materials only to import finished goods,” he said, referencing long-standing losses from untapped domestic processing.
Under the new policy push, the government will accelerate creation of County Aggregation and Industrial Parks (CAIPs) and common user facilities. These hubs, planned in counties including Kericho, Nairobi and Mombasa, will provide cold storage, warehousing and modern processing plants aimed at cutting post-harvest losses and boosting farmer earnings.
A key goal is to raise value-added tea exports from the current five per cent to 50 per cent in the medium term, while also scaling processing in coffee, dairy and livestock.
Officials say expanded trade deals, including with the African Continental Free Trade Area (AfCFTA), the European Union (EU), China, and the United Arab Emirates (UAE) — are expected to provide markets for the new range of processed goods.
Agriculture contributes about a fifth of Kenya’s GDP and supports more than 70 per cent of rural households. In 2024, maize harvests reached a record 67 million bags, cutting imports to 3.3 million from 9.9 million in 2022.
Officials say moving beyond raw exports to value-added processing will be key to sustaining this momentum and protecting farmers from fluctuating global commodity prices.
At the same event, the President laid the foundation stone for the China–Kenya International Commerce Centre, a Sh5 billion, 68,000-square-metre development at the ASK Showground that will house an exhibition centre, hotel and trade facilities and is expected to create about 3,000 jobs.
This construction is part of the push to turn underused ASK grounds into economic engines.
Agriculture Cabinet Secretary Mutahi Kagwe and Nairobi Governor Johnson Sakaja also addressed delegates, citing input subsidies, farmer registration and mechanization as part of wider reforms.
The trade fair provides a platform for showcasing the government’s value-addition agenda, while presenting market opportunities for producers, processors and buyers engaged in the agricultural value chain.
Exhibitors say the challenge now is translating the policy into practical gains for farmers, ensuring that higher earnings are realized across value chains.
