Kenyan soybean crusher Soy Afric joins strategic pact to transform Ethiopia’s agricultural sector
Soy Afric, a leading soybean crusher in Kenya known for its work with farmer-inclusive supply chains, brings its technical prowess to the project.
ETHIOPIA – Kenyan soybean processor Soy Afric has signed a transformative agreement with Ethiopia’s state-owned Ethiopian Trading and Business Corporation (ETBC) and investment firm Kazana Group to reshape Ethiopia’s food production and processing landscape.
The tripartite Memorandum of Understanding (MoU), announced in April 2025, marks a turning point for Ethiopia’s farming sector. Its aim is to uplift smallholder livelihoods, boost local food processing capacity, and connect the country’s agriculture to global markets.
At the heart of the deal is a plan to move Ethiopia away from fragmented subsistence farming towards a structured, market-integrated agricultural system that can meet both domestic and international demand for food and feed products.
Soy Afric, a leading soybean crusher in Kenya known for its work with farmer-inclusive supply chains, brings its technical prowess to the project.
The company will lead efforts in soybean processing and quality control and will provide guaranteed buy-back contracts to farmers, reducing their market risk and providing stable income. Soy Afric will also spearhead agronomic training and extension services, a critical gap in Ethiopia’s rural farming communities.
Meanwhile, ETBC, with its deep ties to Ethiopia’s public institutions and farming cooperatives, will drive farmer mobilization and regulatory facilitation, ensuring that the rollout aligns with national development priorities.
Kazana Group, a strategic investor, is tasked with securing capital, forging international market linkages, and scaling up the physical infrastructure required for food processing and export readiness.
One of the most innovative aspects of the agreement is its farmer empowerment framework, which shifts thousands of Ethiopian farmers from precarious subsistence farming to contract-based agriculture.
The benefits include access to input financing tailored to the agricultural cycle, training on best agronomic practices, and premium pricing mechanisms. This approach is expected to improve productivity and resilience among Ethiopia’s 15 million smallholder farmers, many of whom rely on rain-fed, low-input systems.
The initiative will begin with targeted pilot projects to test and refine the implementation model. Once proven effective, it will be scaled nationally with structured financing agreements and expanded infrastructure investment.
The agreement also establishes performance metrics and accountability mechanisms, a critical move to ensure long-term sustainability and adaptability.
For Soy Afric, the expansion into Ethiopia represents a bold regional play, signaling Kenya’s agribusiness sector’s growing role in shaping food systems across the Horn of Africa. If successful, the model could serve as a blueprint for similar partnerships in other emerging agricultural markets across Africa.
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