Kilifi County is set for a major economic boost as an Italian firm prepares to invest Ksh 2.8 billion in the cashew nut sector. The investment, which will support 10,500 farmers, is expected to revitalize cashew nut farming, an industry that was once a key economic driver in the coastal region but has suffered years of neglect.
Governor Gideon Mung’aro confirmed that the national government had approved the investment, following a deal brokered by President William Ruto in December last year. The agreement paves the way for Italian investors to enhance the cashew nut value chain, injecting much-needed capital into the sector.
“The investors needed a letter and when we met the President, he directed the Ministry of Foreign and Diaspora Affairs to write it. Now I expect, God willing, Ksh 2.8 billion to help 10,500 farmers to start growing cashew nuts in the county,” Mung’aro said.
As part of the project, the county has already identified 5,000 acres in Chakama for cashew farming. Local farmers will be allocated land to cultivate the crop, while others will receive support to grow cashews on their own farms. The investors will purchase the nuts, process them, and export the final products, creating a structured value chain that benefits both farmers and the local economy.
“When the investors come, they will not grow the crop themselves. We shall allocate land to local farmers to do the farming. The investors will buy the nuts, process them, and export the processed nuts,” Governor Mung’aro explained.
In addition to the foreign investment, the governor also allocated Ksh 21 million to 23 savings and cooperative societies (SACCOs) and Ksh 4.5 million to farmer producer groups under the National Agricultural Value Chain Development Project (NAVCDP). These funds will help farmers access credit, improve productivity, and modernize operations. Mung’aro also witnessed the signing of memoranda of understanding between the groups and NAVCDP officials.
To ensure the success of these initiatives, the governor encouraged SACCOs to embrace modern technology for effective financial management. He reiterated his administration’s commitment to supporting cooperatives, highlighting progress such as the drafting of a County Cooperative Bill.
The investment comes at a time when cashew farmers are pushing for increased land allocation to expand production. Farmers are calling for an additional 100,000 acres to grow cashew trees and meet rising global demand. According to local farmer Jonathan Bugo, the region needs to increase orchard size from 33,732 acres to 170,000 acres and eventually establish over 500 million trees within three years.
This investment marks a significant step in restoring Kilifi’s cashew nut industry, potentially transforming it into a major economic pillar for the county and the wider coastal region.
