SPEECH BY HIS EXCELLENCY HON. UHURU KENYATTA, CGH, PRESIDENTAND COMMANDER-IN-CHIEF OF THE DEFENCE FORCES OF THEREPUBLIC OF KENYA, DURING THE OFFICIAL OPENING OF THE 2014MOMBASA INTERNATIONAL SHOW, 28TH AUGUST, 2014

Distinguished Guests,Fellow Kenyans, It is a great pleasure to join you all today, at the opening of this year’s show. For all the advances of recent years, agriculture remains at the heart of thiscountry’s affairs. In line with Vision 2030, we have come to see the enormouspotential of commercialized agriculture. My Government is therefore keen to promote competitive, commerciallyoriented agriculture, with the most modern and efficient technology we canfind. A second core aim of my Government, in whose pursuit we are workingwith our development partners and our private sector, is to attain food securityand sustainable land management. Ladies and Gentlemen, The reasons for these choices are clear. No country has made major strides ineconomic development without securing its people’s food. No country has advanced without improving the productivity of its lands. Ourcommitment to development means that we must commit to the most basicrequirements of our citizens. That is why we allocated the Ministry ofAgriculture KShs. 37 billion in the 2014/2015 budget for boosting foodproduction. These funds go to key flagship projects including irrigation, inputsubsidies, fisheries management and development of disease-free zones forlivestock development. My Government has also allocated KShs. 2.6 billion this financial year, toenhance and diversify the Strategic Food Reserve. In addition, the Governmentwill continue with the input subsidy scheme, the better to cushion farmersagainst high input prices and promote crop production. Ladies and Gentlemen,The food security we seek will also be helped by reductions in the costs of theinputs that farmers need. In the last financial year, 173,000 MT of assortedfertilizers worth over KShs 7 billion was procured and distributed. In the current financial year, my Government has allocated KShs. 3 billion forfertilizer and seed. This goes hand in hand with our medium-term plan which,as we indicated a while ago, was to establish a fertilizer manufacturing plant inthe country. The Government identified a private investor in Toyota Tsusho,who took on the project. We expect the first batch of fertilizer in 2016. Ladies and Gentlemen,Though the greater proportion of our country is arid and semi-arid, theirrigation potential of these lands has been under-exploited. My Government,therefore, made irrigation a national priority. Under the Expanded National

Irrigation Programme we shall rehabilitate and expand national irrigationschemes by 54,320 acres across the country. By 2017, we aim to have amillion acres under irrigation. This year, Kshs 9.5 billion shillings was allocatedto these ends, 3.5 billion of which will go to the Galana/Kulalu project in TanaRiver County. Ladies and Gentlemen,Horticulture remains one of our most significant agricultural sub-sectors -- lastyear, the value of horticultural produce reached KSh.177 billion, of which 95billion was exported. In recent years, however, challenges have emerged,among them legislative and other hindrances in our export destinations. MyGovernment will continue to enforce compliance and endeavour to nurture andprotect our export markets. Tea growing is no less vital: it earned us KShs 114.4 billion in foreign exchangein 2013, and supports up to 10% of our people. To unlock the full potential ofthe industry, my Government is finalizing the National Tea Industry Policy, inconsultation with a range of interested parties. Coffee production accounts for up to 8% of our total agricultural exportearnings and supports about 700,000 families. In recent years, however, therehas been a decline in production, which now stands at 50,000 Metric tonnes. Poor management, price volatility, and other challenges are to blame. We stillexpect coffee to earn the country about KShs. 19.5 Billion this year, but it isclear that we must do more, and quickly. As an initial step, we have introducedfertilizer subsidies for coffee and streamlined the Nairobi Coffee Exchange(NCE) through the review of the Coffee Trading Rules and appointment of theNCE Committee. More complete re-organization of the sector will follow soon. Ladies and Gentlemen,Time and again, research has shown that oil and nut crops have huge potentialto contribute to growth in the coastal region. Coconut has the potential tocontribute up to KShs. 25 billion annually. Little of that potential has beenrealized -- a matter that should dismay us even more when we remember thata take-off in coconut production would sharply reduce the importation of crudeedible oils and fats. The commercialization of coconut and coconut products isimperative, especially for this region. Mine is to challenge those concerned withmaking policy to put in place immediate measures to unlock the potential inthe coconut industry. Ladies and Gentlemen,Livestock remain important right across Kenyan communities. The subsectorcontributes to the food and cash needs of many farmers, and providesemployment to about 10 million people. The country’s dairy cattle areestimated at 4.2 million head. In 2013, milk production was estimated at 5.2billion litres valued at Kshs. 114.4 billion. I am happy to note the country is self-sufficient in milk production. MyGovernment will do all it can to encourage the growth of this sector. Ladies and Gentlemen,

Our meat production enjoyed a productive and prosperous year. In the lastyear, exports of Meat and meat products grew 8%. If we let beef stand as anindicator, 424,000 MT of it were produced locally last year, valued at up toKShs. 80 billion. To improve the performance of our meats in the export and domestic markets,my Government has allocated KShs. 700 million for restructuring the KenyaMeat Commission, KShs. 278 million for the establishment of livestock disease-free zones and another KShs. 200 million to the Agricultural DevelopmentCorporation. The development of Disease Free Zones will ease access tolivestock and livestock products by local, regional and international markets. Inthe next financial year, Bachuma, Miritini and Kurawa Livestock Export Zoneswill also be developed to assist in ensuring we exploit the export beef market. Ladies and Gentlemen,The Fisheries sub-sector in Kenya has the potential to contribute significantly tothe national economy and support food nutrition security. I am delighted tonote that production from fish farming in Kenya has increased from 4,000Metric Tonnes to 47,000 Metric Tonnes over the last four years. To entrench fishfarming in the minds of our young generation, my Government, through theMinistry of Agriculture, has prioritized construction of fishponds in learninginstitutions. During the current financial year, KShs. 122 million has been allocated tosupport aquaculture technology development in the country. Ladies and Gentlemen,As you will know, I commissioned the Deep Sea Research Vessel (R.V. Mtafiti)early this year. This vessel will not only enhance the capacity of the Government of Kenya onmarine fisheries research through the Kenya Marine Fisheries Institute (KMFRI),but will also enable the country to expand its venture in the Indian OceanExclusive Economic Zone (EEZ) and similarly benefit other West Indian OceanCountries in Africa. The Government is also in the process of acquiring an Offshore Patrol Vessel forsurveillance of Kenya’s Indian Ocean EEZ. In the 2014/15 financial year, KShs.800 million has been allocated for this purpose. Another KShs. 192 million will be spent on improving fisheries infrastructureand capacity building. The Government is also working out modalities forestablishing a revolving financing scheme for local fisheries to build a fishingfleet. My Government will continue to support programmes and strategies forimprovement of the performance of this sub-sector. Kenya’s fish enjoys access to international and regional markets and we intendto maintain this position. Towards this end, my Government has allocated KShs. 30 million as a counterfund for the construction of a fish referral laboratory in Nairobi to ensure thehighest possible sanitary standards for our fish and fishery products.

Ladies and Gentlemen,To further boost investment in the agricultural sector, the Agricultural FinanceCorporation (AFC) in the Financial Year 2013/2014 disbursed KShs. 3.1 billion. However, there are challenges in accessing agricultural credit, which Iacknowledge. Let me hasten to add that my government will do all it can tomeet them, and let me also add that there is room here for various financialinstitutions to offer farmer-friendly credit services to farmers in the country andwould continue urging the institutions to develop products that are farmer-friendly. With these remarks, I now declare the Mombasa International Show officiallyopened. THANK YOU AND GOD BLESS YOU ALL…..