East Africa is positioning itself to move fresh produce to Europe at a lower cost and with a smaller carbon footprint through a proposed €30 million cold-chain logistics centre planned for Naivasha, with construction expected to start in 2028.

Backed by the Netherlands and the European Union under the Global Gateway framework, the Northern Corridor Cool Logistics project aims to reduce fresh-produce transportation costs by 25 per cent and cut carbon emissions by more than 90 per cent, according to project details presented by officials.

Read Also
Munyao’s Tokyo record inspires him for Valencia swift charge Sports
Muyoti banks on Leopards knowledge to plot Ingwe downfall Football
Adhiambo set for Lionesses return in Africa Sevens redemption bid Rugby

The project team is targeting financial closure in 2027, Netherlands Global Gateway Ambassador Marchel Gerrmann said, as partners work to mobilise the funding required for implementation.

The planned facility will consolidate agricultural products from Kenya, Uganda, Rwanda and the Democratic Republic of Congo before moving suitable cargo by rail to Mombasa for onward shipment to European markets.

The approach seeks to address two challenges facing agricultural exporters: the expense of moving perishable goods and the loss of produce before it reaches buyers.

By combining cold storage, consolidation and rail transport, the project aims to make regional supply chains more efficient while reducing reliance on more carbon-intensive transport options.

The opportunity extends beyond climate benefits. Kenya exported approximately $290 million worth of cut flowers to the Netherlands in 2024, according to World Bank WITS trade data.

Its avocado exports to the Dutch market were worth a further $50.5 million that year.

These figures illustrate the commercial importance of preserving and expanding horticultural trade between the two countries. Source: World Bank WITS.

Dutch Ambassador to Kenya Henn Bakker said the corridor could attract businesses across cold-chain technology, rail and port services, renewable or reliable energy for storage, digital solutions and food processing.

TradeMark Africa and Invest International are working with the European and Dutch partners. Leon Taljaard, Invest International’s head of Global Gateway, Infrastructure Finance and Development, said studies and consultations had pointed to the project’s viability and its potential to transform regional logistics.

Partners also see a need for supporting infrastructure in neighbouring countries so that the benefits extend beyond Kenya and the proposed Naivasha facility.

The investment could give farmers better access to markets, reduce avoidable food waste and offer European buyers a steadier supply of fresh produce.

Its success, however, will depend on securing financing, building complementary infrastructure and ensuring businesses use the facility at commercially sustainable volumes.

Bakker said the Netherlands wanted companies to help turn the corridor into a functioning trade network.

“Global Gateway is Europe’s offer to its partners: investment in quality infrastructure, based on partnership and mutual interest. The Northern Corridor is one of the strategic corridors in that offer.”