NAIROBI, Kenya, May 21-Listed agribusiness firm Kakuzi is accelerating its global diversification strategy and expanding into higher-value export products as it seeks to cushion itself from rising geopolitical risks and volatility in international agricultural markets.
Speaking during the company’s 98th Annual General Meeting (AGM), Chairman Nicholas Ng’ang’a said shifting global conditions, including disruptions linked to unrest in the Middle East, are reshaping the operating environment for exporters such as Kakuzi, which is listed on the Nairobi Securities Exchange.
“Agribusiness firms globally are facing contemporary operating risks, further compounded by unrest in the Middle East,” Ng’ang’a said.
He noted that the company is responding with a strategy anchored on product diversification, market expansion, and selective investment in non-agricultural income streams.
The firm, which has long relied on avocados as its flagship export product, is now deepening its push into blueberries and value-added avocado derivatives in a bid to reduce reliance on fresh produce exports and extend shelf life in key markets.
Ng’ang’a said the blueberry segment is transitioning from an experimental venture into a core growth driver.
The shift comes as global competition in fresh produce intensifies and logistics costs remain elevated, pushing exporters to explore higher-margin processed products.
Kakuzi Managing Director Chris Flowers said the company remains confident in the long-term viability of avocado exports despite market concerns, citing operational improvements and sustained demand.
“The fact is, the business is challenging, but exporting fresh avocados remains viable as long as we produce quality fruit,” Flowers said.
“We believe growth must be deliberate, purposeful, prudent and asset preserving. We are not just farmers; we are builders of our economic development.”
The firm reported that avocado production rose 23 per cent during the period under review, with exports increasing to 525 containers from 446 a year earlier, underscoring steady international demand despite global supply chain pressures.
Beyond fresh exports, Kakuzi is also positioning itself in the expanding processed avocado market, targeting long-life avocado products, frozen pulp, and crude avocado oil, a move aligned with broader industry efforts to capture more value per unit and reduce post-harvest losses.
The financial performance reflected the strength of the avocado segment, with profits nearly doubling to Sh 709 million in 2025 from Sh 361 million in 2024, driven by improved yields and stronger pricing.
Macadamia operations also delivered a significant turnaround, posting profits of Sh 365 million compared to Sh 69 million the previous year.
The company attributed the rebound to recovering global demand, higher sales volumes, and improved pricing dynamics.
The blueberry business also returned to profitability, posting a Sh 5 million profit compared to a Sh 19 million loss previously, with production rising to 90 tonnes from 53 tonnes, signaling early-stage operational stabilization.
Despite the improved earnings performance, management cautioned that global agribusiness remains exposed to geopolitical shocks, currency volatility, and shifting trade dynamics, reinforcing the need for continued diversification and portfolio resilience.
