The European Investment Bank (EIB) has joined forces with other financial institutions to bolster the launch of Africa’s pioneering cold storage facility in Kenya by supporting ARCH Cold Chain Solutions with a substantial USD 15 million.
Kenya has opened Africa’s first-ever cold storage facility, which can hold up to 18,000 pallets, or 18,000 tonnes of products when fully occupied.
This innovative facility, the first of its kind on the continent, is designed to accommodate a wide range of product ranges, operate within a wide temperature range, and set new standards for flexibility. The facility houses a fleet of vehicles and a state-of-the-art, temperature-controlled room for the distribution and storage of medications and perishable food items.
Furthermore, the facility emphasizes its commitment to avoiding environmental impacts by aiming to fulfill a significant amount of its energy needs through off-grid renewable power production, largely leveraging solar photovoltaic systems.
Its flexible design, which was unveiled on Wednesday at the Tatu City Special Economic Zone, would help to lower food waste and raise standards for food distribution safety throughout East Africa.
According to estimates from the UN Food and Agriculture Organization (FAO), over 37% of the food produced in Sub-Saharan Africa is wasted during the value chain’s various stages. The facility is intended to cater to Eastern African import and export markets.
The European Investment Bank (EIB) has committed up to $15 million (Sh2,298,750,000) to the ARCH Cold Chain Solutions Fund, which aims to supply cold storage and temperature-controlled solutions to five primary industries.
Horticulture, meat, poultry, and seafood are among the industries, along with food production, supermarkets, quick-service eateries, lodging, and pharmaceuticals.
“We want to reduce food loss and make a significant difference in food safety throughout the entire distribution process. Mombasa, Kigali, Dar es Salaam, Addis Ababa, and Kampala are all included in our strategic expansion strategy, according to Fredd Kambo, Managing Director and Co-Head of ARCH Cold Chain Solutions East Africa.
“We take pride in our noteworthy accomplishments, particularly in upholding stringent standards of quality and environmental, social, and governance principles.”