Small and medium agribusinesses targeted in Global communities, Cargill pact

NAIROBI, KENYA: Global Communities and Cargill have entered into a strategic partnership to promote agricultural trade for small- and medium-sized agribusinesses in Kenya.

The collaboration will stimulate commercial linkages between Cargill and Kenyan small- and medium-sized agribusiness that are working with Global Communities under its Agribusiness Investment for Market Stimulation (AIMS) initiative.

AIMS, which is funded by the US Department of Agriculture (USDA) Food for Progress program, bolsters trade in key agricultural sectors in Kenya, Tanzania and Malawi by increasing access to financing, markets and capacity building for small- and medium-sized agribusinesses including cooperatives and farmer-based organizations.

While agriculture is a major contributor to economic growth in Kenya - it employs more than 75 percent of the workforce and accounts  for approximately 51 percent of Kenya’s gross domestic product - many farmers still operate on a subsistence scale due to limited access to finance, inadequate access to quality inputs, reliance on rain-fed approaches, and limited access to reliable markets.

“Our partnership with Cargill presents an opportunity for participating agribusinesses to access directly more reliable markets with better payment terms that will enable them to increase their incomes, improve their livelihoods and reduce their reliance on third parties,” said Kimberly Tilock, Global Communities Kenya Country Director. 

Through this partnership, Global Communities and Cargill will work together to resolve challenges faced by AIMS-supported agribusinesses to meet production and quality standards. Support will include capacity building in quality specifications and management, linkages to finance, input providers and transport, and development of aggregation centers. 

"We are excited to work with a partner that is passionate about empowering people and supporting local businesses. We want to raise the profile of agriculture as a viable business and, this is an opportunity to share our extensive skills, knowledge, and experience to directly impact the earning potential of local farmers," said Carl Tundo, Origination Manager, Cargill in Kenya.