KENYA – The ARCH Cold Chain Solutions Fund, supported by the European Investment Bank (EIB), has unveiled Africa’s inaugural state-of-the-art cold storage facility in Tatu City Special Economic Zone, Nairobi, Kenya.
With a total funding of US$81 million, including a substantial US$15 million from the EIB, the facility aims to transform the food distribution landscape in East Africa, addressing food waste and elevating safety standards.
The ARCH Cold Chain Solutions Fund’s flagship facility in Kenya is designed to offer flexibility in services, accommodating a diverse range of products and operating across various temperature ranges.
Covering 17,700 square meters, the facility can store up to 18,000 pallets, equivalent to 18,000 tonnes of perishable goods and pharmaceuticals at full capacity.
The facility sets itself apart by adhering to the Leadership in Energy and Environmental Design (LEED) Standard, striving for a LEED Gold Certification.
In a press release, EIB noted that, if achieved, it will be the first facility in Africa to attain such recognition, marking a significant milestone in sustainable infrastructure development on the continent.
“The facility is committed to sourcing up to 30% of its energy needs from off-grid renewable power production, mainly utilizing solar photovoltaic technology to minimize its climate impact,” it said.
“The primary objective of the cold storage facility is to contribute to the reduction of food waste in East Africa.”
According to the Food and Agriculture Organization of the UN (FAO), approximately 37% of food produced in Sub-Saharan Africa is lost along the value chain.
The ARCH Cold Chain Solutions Fund, with its cutting-edge facility, additionally aims to mitigate these losses by providing efficient cold storage and temperature-controlled solutions.
Fredd Kambo, the Managing Director and Co-Head of ARCH Cold Chain Solutions East Africa Fund emphasized the facility’s impact on food safety and loss mitigation during the opening.
“The facility’s strategic expansion plan includes Mombasa, Kigali, Dar es Salaam, Addis Ababa, and Kampala, with an overall vision to reach a combined capacity of 100,000 tonnes in cold storage space.”
On the other hand, Edward Claessen, Head of EIB Regional Hub for Eastern Africa, expressed pride in supporting ARCH Cold Chain Fund, highlighting the unique quality and flexibility offered by the facility for cold storage.
Claessen acknowledged the facility’s role in reducing wastage and setting global food safety standards in the region, showcasing the positive outcomes achievable through private sector support.
“ARCH Cold Chain Solutions Fund is focused on developing and operating large-scale, energy-efficient cold chain solutions with a comprehensive logistics and distribution network across Eastern and Central Africa.”
Meanwhile, the fund aims to expand into key cities such as Mombasa, Kigali, Dar es Salaam, Kampala, and Addis Ababa, to reach a total capacity of 100,000 tonnes in cold storage space, further solidifying its commitment to reducing food loss and enhancing food security in the region.
