Fresh Fruit and Vegetable Consumption and Trade in Urban Kenya: Implications For Policy and Investment Priorities
This study looks at the urban consumption patterns of fresh fruits and vegetables and the major supply chain systems used in the distribution of fresh produce. The study integrates issues of supply chain organization and performance into the analysis of consumer demand for fresh produce. In particular, the study looks at how system organization and performance affects the ability of the system to satisfy consumer demand for fresh produce. The study pursues these main objectives, namely, to estimate the household consumption of fruits and vegetables per adult equivalent; to examine the shopping patterns of fresh produce consumers as compared to other food purchases; and to examine the various supply chain systems for fresh produce.
Urban Demand for Smallholder Crops; the Case of Fruits and Vegetables in Nairobi, Kenya
Fruits and vegetables are an important source of nutrients for a large number of Kenyans, as well as major earners of foreign exchange, and are commonly grown crop among smallholder farmers, who often sell them for cash. Little is known, however, about the structure of domestic demand for fruits and vegetables in this rapidly urbanizing nation and in Sub-Saharan Africa in general. We apply the Almost Ideal Demand System (AIDS) with seemingly unrelated regression (SUR) to data collected through a household expenditure survey conducted between June and July of 2009. Inelastic estimates of own-price elasticities for cabbage and tomato, and for all fruits, with the exception of onion and avocado, indicate that these are necessities. The own-price elasticities for the vegetables were negative and in the range of (-0.693) and (-0.792). The own-price elasticities for the fruits range between (-0.577) and (-1.104). Estimated cross-price elasticities also illustrate both substitutability and complementarity in demand. Expenditure elasticities above unity for kale, onion, mango and avocado suggest they are luxuries. The high expenditure elasticity of demand for some fruits and vegetables means that potential growth in demand could be large. We recommend that public investments address production and marketing systems with the aim of increasing the availability of fruits and vegetables to Nairobi households, also stimulating domestic demand for these crops among smallholder farmers.
Improving Kenya's Domestic Horticultural Production and Marketing System: Current Competitiveness, Forces of Change, and Challenges for the Future Volume II: Horticultural Marketing
The specific objectives of this Volume are to: estimate the share of domestic FFV production going to international and domestic markets; determine the share of imports from Tanzania and Uganda in Kenya’s horticultural markets; investigate the competitiveness of Kenya’s horticultural produce in local and regional markets; determine the current and likely future share of key marketing channels in Kenya’s domestic FFV marketing system, especially “modern” channels such as supermarkets and more traditional channels such as open air markets and kiosks; and recommend steps that should be taken to place Kenya’s domestic horticulture in a position to compete favorably in local and regional markets.