- Agriculture’s GDP share rose to 23.2 per cent, with output valued at Ksh 4.07 trillion.
- Horticulture, coffee, tea and milk posted strong growth, while wheat and sugarcane output declined.
- Counties want more funding for irrigation, mechanisation and value addition.
Agriculture remained the backbone of Kenya’s economy in the last financial year, with the sector’s share of Gross Domestic Product (GDP) climbing as counties posted record output in horticulture, coffee, milk and cotton.
Council of Governors (CoG) Chair Ahmed Abdullahi made the announcement while delivering the State of Devolution Address on behalf of county governments. He said devolved investments were behind the growth, even as several food crops continued to face structural challenges.
“In the year under review, agriculture remained the backbone of Kenya’s economy, reinforcing its central role in food security, employment, rural livelihoods, and economic transformation,” Abdullahi said.
GDP contribution and output value rise
According to the Economic Survey 2026, agriculture’s contribution to GDP increased from 22.4 per cent in 2024 to 23.2 per cent in 2025. The value of agricultural output rose from Ksh 3.64 trillion to Ksh 4.07 trillion over the same period.
Because agriculture is a fully devolved function, Abdullahi credited consistent county level investment for driving growth across several value chains.
Horticulture, coffee and tea lead exports
Horticulture retained its position as Kenya’s leading agricultural export, generating Ksh 216.5 billion in earnings, up from Ksh 203.6 billion in 2024.
Coffee recorded standout growth, with export earnings rising from Ksh 38.4 billion to Ksh 52.1 billion. Abdullahi attributed this jump to favourable global prices.
Tea, meanwhile, remained one of Kenya’s largest foreign exchange earners, contributing Ksh 187.1 billion despite lower production volumes.
Mixed results for food security crops
Production improved for some staples. Paddy rice output rose from 169,300 tonnes to 180,100 tonnes, while maize deliveries edged up slightly to 178,000 tonnes.
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Cotton production also rebounded significantly, climbing from 6,200 tonnes to 8,800 tonnes. Abdullahi said this boost is contributing to the revival of the textile and apparel industry.
However, other crops declined sharply. Wheat deliveries fell from 294,300 tonnes to 240,600 tonnes, while sugarcane deliveries dropped from 9.4 million tonnes to 7.1 million tonnes.
Abdullahi said these declines highlight continued dependence on imports and the need for greater investment in productivity, processing infrastructure and farmer support.
Livestock sector posts strong gains
The livestock sector also delivered proven results. Milk production exceeded one billion litres for the first time, rising from 909 million litres in 2024 to about 1.01 billion litres in 2025.
Abdullahi attributed the growth to improved rainfall, which enhanced pasture and water availability, making livestock “a major source of rural income and nutrition.”
He added that county governments continued to play a central role in supporting farmers and pastoralists through extension services, input subsidies and market linkages.
Counties push for more funding
The address comes as counties push for more funding to mechanise agriculture, build cold storage facilities and expand irrigation. These investments are essential to cushion the sector against climate shocks and market volatility.
Abdullahi said devolution has allowed tailored interventions across counties, from dairy cooperatives in the Rift Valley to horticulture hubs in Central and Eastern regions.
With agriculture now accounting for nearly a quarter of GDP, the CoG chair urged the national government and development partners to work with counties to close gaps in processing and value addition, so as to maximise earnings for farmers.
By Benedict Aoya
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