With the intent of expanding production capacity and diversify into other product ranges, coca-cola will invest 5 billion shillings in Kenya over the next three years. The firm’s East  Africa general Manager Mr. Peter Njonjo said that the juice market has a huge market potential and hence contracted about 37,000 farmers to grow mangoes and passion fruits for the company. The firm seeks to start manufacturing juice products in addition to the soft drinks. He stated that some of the investments would go to improving the beverage services plants in Nairobi and Kisumu. To their benefit, this investment will provide a ready and steady market as well as a source of raw materials.

This is good news for the farmers, consumers, as well as the company. This is because farmers will share profits and incur less loss because of the subsidized cost in terms of farming expenditures. The farmers will also have an increase of income. If the materials are available locally, the company will experienced decreased cost of production which is good news for the consumers as the products will be purchased at cheaper prices.

This gesture will contribute greatly to economic growth of Kenya. The choice of investing in farmers will increase the national income and therefore generate more revenue for the country. Farmers will also have a feeling of security. Thumbs up to Coca-cola company as this is directly giving back to society. Farmers are also encouraged to take this opportunity to improve their income.

References:

Coca Cola to invest Sh5 billion in Kenya to grow its product range