Kenya: Farmers Turn to Eucalyptus in Search of More Income

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Business Daily (Nairobi)

20 May 2008
Posted to the web 20 May 2008

Mwangi Mumero

Demand for hybrid eucalyptus trees has shot up with the onset of the long rains as farmers switch to tree farming.

Suppliers said demand had outstripped supply as farmers anticipate high returns from tree farming. Experts say that growing of eucalypts is a good long-term investment that can be relied upon to provide decent returns and plug gaps left by the dwindling fortunes of coffee and tea farming.

Up to 1,600 eucalyptus seedlings can be planted per hectare. If all the seedlings (each costs Sh10) were to reach maturity after six years, the farmer would earn Sh2.4 million. Power and telephone companies are currently purchasing transmission poles at a cost of Sh1,500 per pole.

Negligible costs

"It is good investment for a farmer interested in getting money over a short duration, especially those with children heading to secondary school," Mr Benson Kanyi of Tree Biotechnology said. The organisation is involved in sourcing and developing eucalyptus clones.

Unlike maize or other cereals, which have high overheads, the costs of planting trees are negligible.

It becomes even more lucrative if the farmer decides to plant trees for timber or fencing poles. Trees used as firewood usually grow for five years while those for electricity and telephone poles are harvested after seven years.

"A fully mature eucalyptus tree will fetch between Sh5,000 and Sh10,000," says Mr Paul Kimondo, a farmer in Sipili, Laikipia District.

He, like many farmers in Laikipia, has put the idle portion of his farm under Eucalyptus trees.

Water guzzlers

"While it will take 10-15 years for the trees to mature, it is more suited to parts of the farm where arable farming may be difficult. Farmers need to identify such areas for establishing the wood lot", said Rose Makena of Tree Biotechnology.

In many parts of Nyandarua and Laikipia districts, a 30 metre mature eucalyptus costs about Sh10,000. A farmer who has planted 1,600 seedlings could earn as much as Sh16 million - a long term investment for retirees.

"A farmer with enough land can live off eucalyptus, considering the rising demand for poles, fuel wood and other timber products", said Mr John Ngigi of Ngano Village in Nyandarua district.

For fuel wood, a hectare can take 2,500 trees which mature after five years and a farmer could easily make Sh2.5 million in profits.

While some researchers have criticised eucalyptus trees as water guzzlers for drying off marshes and other wetlands, research has indicated that water loss on open ground is higher than in a eucalyptus woodlot.

With just 6,000 hectares under eucalyptus, Kenya lags behind South Africa and Ethiopia with 477,000 hectares and 250,000 hectares respectively.

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