Registered in 2020, AARC is a pioneering agribusiness social enterprise developing a commercial smallholder fish farming value chain which is good for the people and good for the planet.
Be a world class producer of sustainable fresh farmed fish and organic vegetables.
Commercialize smallholder fish farming for the benefit of both the people and the planet.
Outcomes:
WE combine (3) pro-poor interventions that address the challenges faced by the smallholders during the government’s Economic Stimulus Program [ESP 2009-2014] as follows:
Upon enrolment, the farmer becomes a member of AARC’s smallholder outgrower scheme. The key activities under this building block include:
The role of the outgrower is to fatten the fish to market size. Upon enrolment in the outgrowers’ scheme, we support the outgrowers as follows:
In comparing the three commonly used systems for inland fish farming in Kenya, that is: Extensive [Ponds], Intensive [RAS] and Semi-Intensive [FIAT], we find that:
We have developed a high-yielding semi-intensive aquaculture production system referred to as ‘Farm-In-A-Tank’ [FIAT], combining the greenhouse technology and cost-effective adaptation of the recirculation aquaculture system [RAS] -used by the medium and large producers. The FIAT transforms the capital-intensive RAS system to an economically viable micro- enterprise, that intensifies smallholder yields from subsistence levels of 200Kg/year [using earthen ponds], to commercial levels of at least 4,000 Kg/year.
To scale production, we have adopted the smallholder ‘outgrower’ farming model -the most successful farming system in Sub Saharan Africa. We enrol the smallholders [ensuring 60% are women], equip them with a FIAT,supply inputs [feed and fingerlings], provide training and technical services. As the sole offtaker, AARC purchases the fish, processes, markets and distributes – creating a robust market system that guarantees the outgrowers a reliable monthly income, and to the market -quality assurance and traceability.
To succeed in commercial aquaculture, we need to equip the smallholder farmers with technical skills, business acumen and create knowledge awareness on commercial aquaculture to accelerate delivery of triple bottom line outcomes:
a) Social Impact: Bridge the food and nutritional security gap and eradicate mulnutrition.
b) Economic Growth: raise incomes for smallholders, create jobs and sustainable livelihoods.
c) Environmental Sustainability: Improve water access, optimize land-use, fertilize the soils, reduce GHC emissions and carbon footprint.
A 300M2 pond system is the most commonly used fish farming system by smallholder farmers in Kenya and across sub-Saharan Africa.
However, it’s characterized by low productivity at an average of 200Kg per year- due to low stocking densities and inconsistent growth rate through-out the year due to temperature changes. Hence the pond system is only suitable for subsistence fish farming.
Commonly used by medium and large sized fish producQon enterprises, the Intensive RecirculaQon Aquaculture Systems [RAS] are high-tech, high-yielding fish producQon systems.
A RAS system the size of a pond can produce as much at 50,000Kg of fish per year. However, it requires a lot of capital for the iniQal setup with high operaQng expense and a 24/7 electricity supply. Hence only few entrepreneurs have the capacity to invest and manage a RAS enterprise.
The FIAT is a cost-effective adaptation of the high-tech RAS system, customized for rural areas without electricity to make it affordable and usable by smallholder farmers.
Occupying the same space as a pond 300M2, it raises the yields of an earthen pond from 200Kg per year to at least 4,000Kg – with consistent production throughout the year.
Of the three systems, the FIAT is the most cost- effective, scalable with the highest return on capital and social impact in terms of raising incomes for smallholders and creating jobs for youth and women.
Kenya Aquaculture
Over the last decade, wild capture output decreased from 188,341metric tons [MT] in 2011 to 130,903MT in 2021. Notably, the maximum sustainable yields [MSY] for most rivers and lakes has been exceeded, hence, capture fish output has plateaued in the last 5 years since 2018 at ~132,000MT. On the other hand, with the support of the government’s ESP, aquaculture grew from 4,200MT [2008] to a peak of 24,100 MT [2014], and then dropped to 10,356 MT [2017] after the smallholder farmers dropped out after the government’s support ended. However, it has since risen to 21,850MT [2023] of which over 50% is produced by one large enterprise operating at Lake Victoria – the source of 95% of Kenya’s wild catch – hence creating a single source of failure.
The climate crisis, the declining wild capture, the growing population, urbanization and growing need for healthier diets has left Kenya with a low annual per capita fish consumption less than 4Kg, against Africa’s [10Kg] and the global average at [21Kg] – creating a supply deficit estimated at 500,000 MT to meet Africa’s average. AARC is responding to this supply deficit.
Target Counties in Kenya
AARC is focusing on six counties/regions with good weather for fish farming, categorized as Arid and Semi-Arid Land [ASAL], food insecure and marginalized [for some]– hence recipients of food aid during droughts. These are:
[Poverty headcount ratio in bracket against the national average at 38.6% -KNBS,2021]
We focus on aquaculture [fish farming] – the most resource-efficient protein production system, compared to livestock and protein crops in terms of water, land-use and feed [for livestock]. For example, it takes an average of 1.4Kgs of feed to produce 1Kg of fish, compared to beef at an average of 8Kgs, goat 5Kgs, pigs 3.8Kgs and poultry at 1.7Kgs.
Climate Action: Notably, smallholder farmers especially women, are the most impacted by climate change in terms of food production, livelihoods and access to water. Through our ‘Water Resource Management ‘ initiative, we promote rain-water harvesting, planting of fruit trees and replenishment of water wells to improve access to water for daily use and irrigation. Hence, the smallholders can sustainably feed Africa, improve their livelihoods and climate resilience and reduce the national food security burden.
It is a well-known fact that over 80% of the food in Sub Saharan Africa is produced by smallholder farmers who depend on rain-fed agriculture for their livelihoods. Hence, the climate crisis leading to droughts, floods, desert locusts and rising waters – makes Africa one of most vulnerable continents in terms of food production, nutrition security, livelihoods, water availability and health.