FOOD MARKETING

Kenya’s Twiga unveils a new fresh-food strategy to lower prices

By our News Team | 2022

Company says it wants to scale the production of certain fresh food staples, which will reduce the cost to end users.

Twiga Foods, the Kenyan-based B2B E-Commerce company and supply chain specialist, has announced it will invest around US$10-million into a new brand-extending subsidiary that is centred on modern and commercial farming.

The company’s self-proclaimed goal is to revolutionise food-focused retail in sub-Saharan Africa by simplifying the supply chain between fresh food producers, FMCG manufacturers and retailers through its e-commerce platform.

Its latest venture, named Twiga Fresh, aims to scale the production of domestic horticultural staples like onions, tomatoes and watermelons, thereby lowering the cost of fresh food to end users.

For specific value chains that are locally well-established and operating efficiently – bananas being one example – the existing Twiga Foods business will continue to work with smallholder farmers in addressing the challenge of food security.

Twiga Foods CEO Peter Njonjo (right) says Africa can least afford food inflation. Photo credit: Twiga

“We will continue to run the B2B e-commerce business under Twiga, focused on building a one-stop supply chain solution for informal retailers, delivering both Twiga and non-Twiga owned products,” Peter Njonjo, CEO and Co-Founder of Twiga, said.

He added: “The commodity driven volatility in the world today is causing an unprecedented level of food inflation across the world. In Africa we can least afford this disruption and that is why we are excited about the imminent impact our technology enabled supply chain will have in reducing the cost of food.”

The launch of Twiga Fresh comes just six months after Twiga raised US$50-million in a Series C round to scale its efforts in Kenya and other neighbouring countries.

“While Twiga has been connecting vendors and outlets with farmers via an app to access different agricultural produce, this strategy has since changed. Three years ago, the firm began to connect FMCG and manufacturers with retailers in Kenya in a bid to increase revenue. Twiga has also rolled out low-cost manufactured food and non-food products under its brand,” the publication Kenyan Wall Street reported.

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