Kakuzi ventures into blueberry production

Agricultural firm Kakuzi has diversified into production of blueberries as it seeks to grow earnings and expand its portfolio of produce.

The company has been producing tea, avocados, macadamia and trees besides keeping livestock.

Blueberries are sold fresh and can also be processed to make a wide variety of other products such as juice, jam and wine.

“In a new crop for us, we have established a 10-hectare blueberry trial at Kakuzi in Kenya,” the Nairobi Securities Exchange-listed firm’s parent company, Camellia Plc, said in a trading update.

“Following completion of the infrastructure, planting commenced in January 2019. If successful, there are substantial additional areas of Kakuzi which could be developed.”

The London-based multinational noted that blueberries are grown in pots in polytunnels (greenhouses) and therefore require extensive infrastructure.

Camellia added that this also offers an opportunity to grow the plants on otherwise unproductive areas of the farm.

Besides blueberries, Kakuzi is also scaling up its avocado production by a large margin.

“We planted 23 hectares of avocado near Kitale in Kenya which, if successful, could lead to a development of 600 hectares,” Camellia said.

Kakuzi plans to dedicate up to 1,200 hectares to the production of avocado — its largest revenue earner and most profitable crop — in the medium term.

The company is also investing in infrastructure to support the export of its avocado.

“In order to best manage the packing and export of this fruit, the packhorse (warehouse) will be upgraded during 2019. This represents another substantial investment for the company,” Kakuzi said in its latest annual report.

The company is ramping up investments amid great uncertainty over its rights to thousands of acres of land.

A group of individuals asked the National Land Commission (NLC) to investigate historical land injustice regarding Kakuzi’s acquisition of its land holdings.

The dispute went to court but NLC nevertheless issued a raft orders against the agricultural firm.

“Allotments and titles to be issued for public purpose only. All leases for land held by Kakuzi in Muranga County should not be renewed until the historical land injustice claim is heard and determined. Any 999 year leases to convert to 99 years,” reads part of the orders.

Kakuzi was also ordered to surrender all public utilities on its land including schools, markets, police stations, hospitals, public road of access and wayleaves.