Local Kenyan assembly blocks Del Monte lease renewal

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Local Kenyan assembly blocks Del Monte lease renewal

A county assembly in Kenya has reportedly passed a motion compelling the National Land Commission (NLC) and the County Government not to renew a land lease for Del Monte Kenya Limited. pinas-shutterstock_262188239

The Kenyan subsidiary of U.S.-headquartered group Fresh Del Monte (NYSE: FDP) is hoping to renew the lease for land where it has been growing pineapples.

Local media Mediamaxnetwork.co.ke reported the Murang’a County Assembly said the company should set aside 1,000 acres for public use before renewal.

In a motion tabled before the Assembly, Land and Housing committee chairman Duncan Njuguna said the land should used for an industrial park and horticultural farming.

Njuguna argued that currently the land is not earning enough revenue for national and local governments and should be turned into profitable ventures through establishment of green houses, industries and institutions of higher learning.

He reportedly outlined nine conditions which should be implemented to ensure Murang’a residents benefit from the land.

The land lease is expected to expire in the next three years and some residents have been putting pressure on the company to surrender part of the land for public use, according to the story.

He noted that 1,000 acres of land would enable the county government to establish a greenhouse village which would create employment to more than 24,000 people.

Related story: Kenya: Land dispute case takes unfavorable turn for Del Monte

Photo: www.shutterstock.com



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