CKL Africa Ltd.

Providing critical inputs, know-how and R&D assistance to farmers in the East African livestock sector.

Country: Kenya

Type of investment: Direct Investment Company

Purpose: CAPEX financing for local production

Financial close: January 2018

Tenor: 7 years

Type of Investment: Capital expenditure financing

S&E Category: B

In January of 2018, AATIF concluded a USD 4m facility to enable CKL Africa Ltd (formerly Cooper K-Brands Ltd) to finance a new processing plant for minerals and nutritional supplements used in the livestock sector, thereby increasing the company’s local value addition. CKL Africa Ltd (CKL) is a family-run company set-up in 1906, which over several generations has become a leading animal health and agricultural inputs company in Eastern Africa. CKL remains one of the oldest standing local companies in Kenya’s well-established livestock sector providing critical inputs, know-how and R&D assistance to farmers.

Over the years the company has developed a unique distribution model working with 13 strategic business partners (regional distributors) and over 6,000 stockists through which it reaches thousands of smallholder farmers spread across Kenya. Through this distribution network CKL not only provides access to quality agricultural inputs, but further complements its products with a wide breadth of knowledge sharing at the farmer level. In the last season CKL reached over 45,000 farmers through its training activities.

AATIF partnered with the company to support the expansion of its operations which includes increasing its capacity for local processing and further growing its product diversification and outreach to local farmers. The first step in this journey was accomplished through AATIF’s financing of the new plant – a strategic plan targeted at reducing the percentage of imported products, increasing the company’s ability to develop products specific to its client base and generating local employment opportunities. This is only a first step in a long-term partnership, as AATIF seeks to continue working with CKL towards its goal of contributing to the transformation of the agricultural sector in East Africa by developing and delivering innovative and affordable animal health and crop protection products within easy reach of every famer in their markets accompanied by a wide variety of knowledge sharing and training activities.

Technical Assistance Project Highlight

Co-financing the position of a Group Sustainability and Communications Officer

Challenge:
Social and Environmental (S&E) due diligence found there to be a lack of coordination, strategy, and communication surrounding S&E initiatives.

TA Intervention:
To strengthen CKL’s coordination of sustainability initiatives and communication capacity by co-financing on a declining basis the salary of the newly created permanent position of Group Sustainability Coordination and Communication Officer.

Result:
Group Sustainability and Communications Officer hired, CKL Sustainability Committee Established, and Sustainability Policy developed and disseminated within the organization's SHE team.

Photo credits: Cooper K-Brands Kenya Ltd.

Local processing

2

MT per hour

The capacity at which the new CKL plant in Kenya can produce nutritional supplements for livestock.

OUTREACH TO AGRICULTURAL PRODUCERS

13

Strategic business partners

6,000

Stockists

45,000

Farmers

CKL delivers its products to thousands of farmers daily through a network of 13 Strategic Business Partners (regional distributors) and over 6,000 stockists.

In the last season over 45,000 farmers were reached through training initiatives of CKL.

Number of employees

37

Female employees

130

Male employees

CKL has a total workforce of 167 employees, with 76% of them on permanent contracts. Additionally, the company employed 32 casuals for short assignments, offering 4 placements for technical vocational education training.

  • Figures are based on latest available self-reported data by investees and data collected by AATIF’s collaboration partners
  • Figures are subject to change as and when additional information becomes available
  • Figures reported here are not replacing rapid appraisals / impact evaluations that are done in addition

TECHNICAL ASSISTANCE FACILITY

The TA Facility has supported CKL through the implementation of four TA Facility projects in total since 2018, this includes one rapid appraisal study to assess the impact of the AATIF investment. The results are concluded in the IMPACT Brief.

TA Facility Projects

2018
Rapid appraisal study of AATIF investment in Cooper K-Brands Ltd.

2019
Co-financing of Group Sustainability Coordination and Communications Officer

2020
Scenario planning in the context of COVID-19 and its impact

2020
Expert consultant for the design and implementation of new state-of-the-art production facilities