Member of the Month

March 2009: TROPICAL FARM MANAGEMENT (KENYA) Limited

Established in 1972 by a company named East African Acceptances as an Estate Management Division (EMD), Tropical Kenya was founded to oversee their lending to agriculture.

By 1982 EMD managed and financed a substantial part of the coffee plantations in Kenya and began expansion into other crops such as tea, ranching, sugar, dairy products and horticulture.

In 1984 Standard Chartered Bank acquired sole ownership and renamed the division Standard Chartered Estate Management Limited.

In April 1999 Standard Chartered Bank sold its share capital to Neumann Gruppe GmbH in Hamburg, Germany. The company was then renamed "SCEM Farm Management Limited". For better identification with its mother group the company's was again changed to "Tropical Farm Management (Kenya) Limited" in January 2004.

Today, Tropical Kenya is a unique management company of high repute based 50 kilometres north of Nairobi in a town called Thika. We play an important role in successful farm management and transfer of farming technology and know-how. Being the largest and most experienced farm management company in East Africa, we presently manage about 70 farms, most of which are coffee and tea plantations ranging from 100 – 2,000 acres in size. In total about 15,000 acres are managed in coffee and tea growing regions of Kenya.

Our services:

Full Management Service (FMS)

Tropical Kenya is closely involved with the daily operations on the farm. Tasks like pruning, weed control, soil improvement and fertilizer application, irrigation, pest and disease control, picking and factory processing are monitored. We also audit the seasonal crop financing.

Field Advisory Service (FAS)

Field Advisory Service is provided to clients who prefer consulting service only. In FAS, a group manager visits the client’s farm on a periodic basis to give advice about farming practices and to write a report.

Accounting Services

Accounting services are available including the preparation of profit and loss statements. For effective financial control the farm's expenditures are monitored in relation to the budget allocation. These services enable our clients to check the performance of their farm and provide Tropical Kenya with the appropriate tools to increase the productivity and thus profit.

Insurance services

The insurance office was founded in 1994 and accomplishes the following tasks:

1. Assists farmers in arranging adequate insurance cover
2. Ensures that the premiums charged by the brokers are competitive
3. Assists in claims follow ups and makes sure that they are adequately compensated
4. Ensures that the various policies are complied with
5. Advices on risk management in liaison with the company’s insurance brokers

Farming activities

Coffee, tea and sisal farming activities are our specialty. Feasibility studies and project implementations are carried out and the option of full management exists. It has been recognized by major financiers that Tropical Kenya assists in securing finance for farming operations.

Since 2001 we are also active outside Kenya. A subsidiary farm management company has been founded in Tanzania and in Uganda where we played an important role in setting up a 2,000 hectares Robusta coffee farm. In Ethiopia, Tropical Kenya currently manages two tea estates with more than 2,000 hectares.

Chemical and fertilizer supplies

In our stock we have a wide range of chemicals and fertilizers commonly used on farms. Having sufficient inputs means readily available supplies of quality products at competitive prices all year round. For several products Tropical Kenya is the sole importer and distributor for East Africa.

Coffee nursery

Farmers are encouraged to expand their coffee area and also replace old plantations with younger trees. In this regard a vegetative propagation nursery has been established.

Modus operandi:

Tropical Kenya’s Modus Operandi is normally a tripartite arrangement whereby a client comes to Tropical Kenya for management with finance. Thereafter, Tropical Kenya visits the property and prepares a feasibility study to make the necessary application for banking facilities on behalf of the client.

Our guiding principles:

Sustainability ultimately means intergenerational equity. All the actions we take aim at maintaining the production basis indefinitely. By acting responsible towards the natural and social environment, we want to be seen as a model for other farming businesses.

In every activity location we shall be recognized as good business people, offering fair employment and showing respect for the local law and culture.

Our team attitude is that of entrepreneurial thinking, integrity, professionalism and mutual support.

Contacts:

Tropical Farm Management (Kenya) Limited
Head Office,
Maboromoko Road,
P. O. Box 260, Thika, Kenya.
Phone: +254 151 21637/8; 22830; 31220
Fax: +254 151 30468; 31132
E-mail: admin@tropicalke.com

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