Sahel Capital backs Kenya's Apple Orchards
Sahel Capital backs Kenya's Apple Orchards
Sahel Capital has approved a $1 million term and working capital loan to Apple Orchards.
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Sahel Capital, an investor in the food and agriculture sector in sub-Saharan Africa, has approved a $1 million term and working capital loan from its Social Enterprise Fund for Agriculture in Africa (SEFAA) facility.
Apple Orchards, a Kenyan-based enterprise specialising in apple seedling cultivation, supplies high-quality apple products and fresh fruits to the domestic and export market. By offering the best-grade, highest-yielding apple seedlings, the company enables smallholder farmers to significantly boost their productivity. Additionally, Apple Orchards secures a reliable market for smallholder farmers by aggregating their produce as inputs for its apple-related products and fresh fruit exports. The company currently works with 2,500 farmers across 36 counties in Kenya.
"Over the last 39 years, Apple Orchards has remained a key player in supporting the livelihoods of smallholder farmers within Kenya's horticultural sector. Given the high perishability of fruits and vegetables, farmers often have to sell at significantly discounted prices to local buyers. However, Apple Orchards provides these farmers with access to improved income through demand for local derivative products and demand from the international markets," stated Deji Adebusoye, a partner at Sahel Capital.
Matthew Njenga, the CEO of Apple Orchards, said, "Apple Orchards has supplied seedlings to over 1,000 customers in 13 African countries and two others outside the continent, including the Philippines and Jamaica. The offtake arrangement has significantly improved farmers' standards of living, enabling them to earn at least $3,000 from just 0.25 acres of land. With this funding, the company plans to process apples into apple crisps and apple concentrate for the local market."
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