Benefits of investing in agricultural land for sale Kenya

Benefits of investing in agricultural land for sale Kenya

Agriculture in Kenya dominates Kenya’s economy. Approximately 15-17% of Kenya’s total land area has sufficient fertility and rainfall to be farmed. 7-8% of this can be classified as first class land. Kenya is the leading producer of coffee and tea as well as the third largest exporter of fresh produce such as cabbages, onions and mangoes. Small farms grow most of the corn and also produce potatoes, bananas and peas. Despite all these produce and the favorable weather conditions, about a half of Kenya’s total agricultural output is subsistence production, meaning that it is produced for consumption. This means that the agricultural sector in Kenya is not reaping its maximum potential. This means that serious investors need to come into the agricultural sector and invest in agricultural land for sale Kenya.

Investors in farming and agricultural activities are likely to reap benefits that come with Kenya’s bilateral ties with several other nations across the globe. These include reduced taxes in farm products and easy policies enabling investors from Kenya to easily access other foreign markets. Thus investors are capable of getting readily available large scale markets for their produce.

Agricultural sector is the largest contributor to Kenya’s Gross Domestic Product (GDP). In 2005, Agriculture, including forestry and fishing accounted for about 24% of the GDP as well as for 18% of wage employment. It further collected 50% of revenues from exports. The government being aware of the impact of the agricultural sector on the economy has continued to provide necessary support to large scale farmers all over the Country. The government offers reduced prices on seeds and also avails ready market for certain commodities like sugar cane, coffee and tea. Investors can take advantage of these incentives to immensely reduce the cost of production and in turn maximize profits.

Accessibility of roads is another advantage of investing in agricultural land for sale Kenya. The government has done and continues to do a good job in the development of infrastructure hence linking roads from the urban areas to the rural areas. This facilitates an easy and quick transportation of goods and services from one area to another. This means that an investor can even import labor from one area to another. The ease of transport also ensures that fragile goods like eggs do not undergo unnecessary breakages due to bad roads. Good infrastructure also means that more public service vehicles are likely to ply different roots and one can opt for alternative means of transport like train, depending on the cost.

Investors looking to invest in agricultural land for sale Kenya are guaranteed of cheap and skilled labor. A survey indicates that by 2006, almost 60% of working Kenyans made their living by farming, compared to 80% in 1980. This is a clear indication that majority of Kenyans are well conversant with farming as a way of life. Unemployment rate in the country also guarantees an investor of finding cheap and skilled labor.

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