Smart investor Chris Gasperi reaps big after filling gap in potato farming business

 When Chris Gasperi tried his hands on potato farming and made no profit, he vowed not to give up. The American, who came to Kenya in 2016, says that when he arrived in Kenya, his passion for agriculture was rekindled in a surprising way.

 “I have always wanted to try potato farming in Kenya as my research shows that it can bring great profits. I did some agriculture in the US. I love the weather and the soil, and before I could settle down, I had started farming in Kasambara area in Gilgil,” said Mr Gasperi, who is a trained nurse. He says he did not know what could grow well in Kasambara but after asking his neighbours, he was told potato farming would be an excellent choice.

“After a while, I came to realise that my profit margin was minimal because I sold my produce via brokers,” said Mr Gasperi. He decided to start selling directly to hotels and institutions of higher learning, and this paid dividends. He started reaping big from his venture.

“I started clinching deals and signing contracts with more hotels and other food outlets and supermarkets.” However, as he was making plans to launch his potato farming business, he was disappointed when his seed supplier asked him to wait for one year before he could get certified planting materials.

“I was shocked that a company could lack clean planting materials. I had no choice but to plant uncertified seeds but that came with a cost as my production dipped and diseases ravaged my farm,” said Mr Gasperi. That is how Mr Gasperi got inspired to think of ways of becoming a seed seller.

“I leased my first farm in Nyandarua County and did apical root cutting. I quickly realised that to get quality seeds, you need to have quality land,” he said.Five years later, he ventured into decentralised seed potato production and this gave birth to FreshCrops Limited, an enterprise that produced seeds from tissue culture and sells certified potato seeds to smallholder and large scale farmers in Nakuru, Narok and Nyandarua counties. Mr Gasperi is seeing his big dream come true.

“Things were tough at the beginning but mine has been an exciting journey. Coming up with certified seeds has been my greatest joy since I arrived in Kenya. “I invested Sh500,000 as seed capital five years ago but today this company is worth Sh600 million and still growing. We have modernised our seed production technology starting from tissue culture at our greenhouse located at Greensted in Nakuru City. We offer financial assistance services, provide agrochemicals, and bring the new methods of planting to the farms to ensure we produce high-quality seeds,” said Mr Gasperi.

He adds that there is great potential in producing certified potato seeds. “We are growing by 3,000 per cent every year and everything we earn we plough back to increase our scale of production.”

The company has developed five seed varieties which include shangi, dutch robin, Wanjiku, unica and chulu. All these have received a clean bill of health from state agencies like Kenya Plant Health Inspectorate Service (Kephis) and Kenya Agricultural and Livestock Research Organisation (Karlo). The company is also working with Netherlands Development Organisation, a non-profit making body that has promised to match shilling to shilling for up to Sh20 million the company puts into upscaling climate-smart agriculture practices such as irrigation in greenhouses, education to farmers and mechanisation.

 It has also entered a partnership with Purko Development Trust and leased 350 acres of land at Purko Sheep ranch. The company has also leased farms in Molo and Nyandarua, putting about 750 acres under seed production.

Besides that, Mr Gasperi is handling 35 farmers groups doing seed multiplication including cooperative societies like Starlight and 3,500 farmers who are engaged in commercial production. “We leased 50 acres at Purko Sheep ranch in Narok and harvested between eight and 12 tonnes per acre which we sold for between Sh2,500 and Sh3,500 per 50kg. that translates to about Sh50 million,” said Mr Gasperi, adding that: “This year we have leased 350 acres and I anticipate good profit margins.”

Mr Gasperi has invited other shareholders to the company, including his wife Ashley Gasperi, to help him run the company. He remains the main shareholder with an 80 per cent stake.

The company plans to expand to Uasin Gishu, Elgeyo Marakwet, Siaya, and Kiambu counties.

“We want to create these hubs to cut the cost of production by providing the seeds directly to farmers, and educate them on the best practices of planting the seeds,” he explained.

The company started with two workers and today it has a total of 25 employees. They also engage between 50 and 120 casual labourers every day.

Mr Gasperi admits that it was not easy to start the company. “This business has its challenges as it is a rain-fed farming so you are bound to have good and bad seasons.”

Another challenge is penetrating the market, as farmers still prefer to recycle their harvested potatoes instead of embracing new technology.

He advises investors wishing to put money in the industry to have a five to 10-year strategic plan, and draft a good budget to run their operations.

“Our annual budget for this year ranges between Sh200 million and Sh300 million.”

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