East Africa Agribusinesses Urged to Expand Processing
Regional leaders are calling for deeper investment to capture the value currently lost to raw commodity exports.
Updated on Sept. 22, 2026 in Agriculture
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Business leaders at the 2026 East Africa CEO & Investment Forum in Nairobi called for increased financing to boost agro-processing industries. These industries currently operate at just 30-40 per cent of their installed capacity across the region.
Why it matters
The region loses substantial economic value by prioritizing raw commodity exports over refined goods. Moving beyond raw exports requires addressing a severe financing gap, as agriculture currently receives only 0.5 per cent of regional commercial bank lending.
Agro-processing accounts for 12-15 per cent of Africa's agricultural GDP, yet plants operate at only 30-40 per cent of capacity. Meanwhile, intra-African agricultural trade remains limited, accounting for just 15 per cent of the region's agricultural trade volume.
The players
YASE
A digital platform that connects young people in the agricultural sector to resources and markets.
The details
Agribusiness operators face a disconnect between farm-gate production and processed market value. Leaders at the forum advocated for using donor and government funds to de-risk private investment, aiming to raise utilization of existing facilities. Digital tools like the YASE platform, which currently connects 5,000 young people, are being used to support these efforts and facilitate market integration.
Timeline
The East Africa CEO & Investment Forum occurred in 2026.
The YASE platform targets 10,000 members by the end of 2026.
The EAC Regional Agri-Food Systems Investment Plan spans from 2026 to 2035.
Market Landscape
The forum's push for processing capacity follows the launch of the EAC Regional Agri-Food Systems Investment Plan. This long-term strategy aims to move regional trade beyond the current 15 per cent intra-African share by de-risking private investment over the 2026-2035 period.
Operators in the region should monitor the rollout of the 2026-2035 investment plan for potential de-risking grants or financing vehicles. Businesses currently stuck in raw commodity trade should evaluate the margin differences between farm-gate and processed valuations to assess long-term viability.
The takeaway
The massive valuation gap between raw and processed commodities represents a significant growth opportunity for regional agribusiness. Owners should track the 2026-2035 EAC investment plan to identify specific capital support programs for processing facilities.
Further reading
For more on industry shifts, see the Agriculture section.
Live Poll
Do you believe regional trade policy is currently helping your country's agricultural economic growth?
