Kenya’s fresh produce sub-sector faces significant losses as several international airlines withdraw freight services from Jomo Kenyatta International Airport (JKIA) for “better pay” in other markets ahead of the festive season. The situation is exacerbated by the Red Sea crisis, which has increased the cost of transit through the Suez Canal by $200 per refrigerated container and prolonged transit times by 10 days.
The horticultural sector generated KSh157 billion ($1.21 billion) in export earnings in 2023, according to the Agriculture and Food Authority (AFA). The Shippers Council of Eastern Africa (SCEA) confirmed the logistics crisis at JKIA, which affects fresh produce bound for Europe. They urged the government to allow temporary permits for freighters to fill the estimated gap of 800 tonnes and to consider wet leasing cargo airlines.
Agayo Ogambi, SCEA CEO, stated, “The situation at the JKIA is worse this week. We are over 800 tonnes less than the same week last year. This results in delayed delivery, loss of markets, and affects the shelf life of the products, resulting in huge losses.” He called for temporary approval of freighters to bridge the gap.
Key international cargo airlines, including Qatar, Turkish, and Magma Aviation, have removed some freighters, with Cargolux expected to follow suit. Sources indicate Qatar Airways removed two freighters carrying flowers from Nairobi to Liege, Belgium, causing a 200-tonne drop in capacity, while Turkish Airlines reduced one freighter per week on the Nairobi to Maastricht route, impacting another 100 tonnes.
This reduced capacity has raised air freight costs from $2.3 per kilogram to between $3.57 and $3.6. A clearing agent noted, “Yes, it is true Qatar and Turkish Airlines have withdrawn freight services on some routes. I think it has to do with pricing…some alternative routes could be paying better than us (Kenya).”
Foreign airlines are enticed by better pay in other markets, earning up to $8 per kilogram from Asia to the US, compared to Kenya’s $2.5-$2.8. The lack of binding agreements to serve Kenya further complicates the situation, as most agreements are bilateral, allowing airlines to leave at will.
The logistics crisis has increased cargo rollovers by 200-300 tonnes, affecting Kenya’s agriculture-dependent economy, particularly its horticultural exports, which represent a significant share of foreign income. In 2023, Kenya held a global export share of 12% for fruits and 6% for vegetables, with top products including avocados and pineapples.
