NAIROBI, Kenya, Feb 12 – Agricultural firm Kakuzi has said that plans are underway to strengthen its Environmental, Social, and Governance (ESG) standards.
The enhanced rollout of ESG and sustainability practices will cost the company Sh250 million across the supply chain, highlighting its commitment to global clients, local communities, and other stakeholders.
Kakuzi Plc Managing Director Chris Flowers said that the indulgence of ESG continues to be a common thread and point of concern among international fresh produce buyers.
He noted that sustained national compliance with ESG standards will require participation and capacity building among all local stakeholders, particularly those focusing on export-led agribusiness ventures.
Flowers confirmed that failure to adhere to ESG standards would have a negative impact on the ongoing efforts to improve the value of Kenya’s agricultural exports.
He also stated that upholding ESG standards should be made one of the national branding pillars to ensure that all agribusiness firms abide by global sustainable agribusiness guidelines that international buyers are closely monitoring to help maintain their national competitiveness.
“For this reason, even as we advance our farm-to-table quality standards, we are reiterating Kakuzi’s commitment to continue maintaining robust and sound ESG standards, including capacity building for our smallholder farmer partners to enable us to secure the social license to trade and operate,” Flowers said.
“Commitment to ESG standards has slowly evolved from a voluntary practice to a national and international concern. It is not just about growing an avocado, macadamia, blueberry or any other fruit for export,” he added.
Flowers spoke during the closure of this year’s FRUIT LOGISTICA exhibition in Berlin, Germany.
The expo featured leading buyers and trade visitors from over 140 countries, with more than 2,770 exhibitors from 94 countries.
