Global automotive and equipment distributor Inchcape has partnered with NCBA in a strategic financing arrangement aimed at accelerating agricultural mechanisation and improving farm productivity across Kenya.
The partnership will enable farmers to access modern tractors and farm implements through flexible financing options, addressing long-standing barriers to mechanisation that have constrained agricultural output, particularly among smallholder farmers.
Speaking during the partnership launch, Inchcape Managing Director (MD) Marion Gathoga-Mwangi noted that the collaboration marks a significant milestone in supporting Kenya’s agricultural transformation agenda.
“We believe that access to the right equipment should never be a barrier. Today’s partnership is a major step forward in empowering farmers and agribusinesses to achieve more by making tractor acquisition easier, more affordable and more accessible across the country,” highlighted the MD.
She maintained that mechanisation remains a key driver of agricultural efficiency, enabling farmers to increase yields, lower production costs and improve overall farm profitability.
According to Mwangi, modern, reliable machinery reduces labour intensity while improving the timeliness of farm operations, particularly during peak seasons.
Through the partnership, Mwangi announced that Inchcape will supply tractors and implements from its portfolio of global brands, with a primary focus on New Holland tractors, which are engineered for African farming conditions and known for durability, versatility and ease of maintenance.
“New Holland tractors bring decades of proven reliability in the field, they are built to be tough, efficient and ready to deliver results in every season, including challenging terrains and weather conditions,” she assured.
Further, Mwangi explained that the tractor range includes models from 55 to over 80 horsepower, available in both two-wheel and four-wheel drive options to suit different landscapes and farming needs.
She added that farmers will also have access to a full range of compatible implements, including ploughs, harrows, disc harrows, sprayers and balers.
“To be productive, a tractor must be paired with the right implements. Our goal is to ensure farmers have access to complete solutions that meet their specific farming requirements,” he affirmed.
Equally, the MD mentioned that Inchcape has strengthened its national footprint to support customers through branches in Nairobi, Nakuru, Eldoret and Kisumu, with expansion plans underway for Mombasa, Nanyuki and Meru.
Likewise, she pointed out that mobile service vans and factory-trained technicians will provide after-sales support, spare parts and maintenance services closer to farmers.
“We are deeply committed to keeping every tractor running, our mobile service teams ensure farmers receive timely support so their equipment is ready when the farming season begins,” Mwangi emphasised.
In his remarks, NCBA Group Director for Asset Finance, Lennox Mugambi, stressed that the partnership responds to the urgent need to modernise Kenya’s agriculture sector, which contributes about 21 percent of GDP and employs nearly 40 percent of the population, rising to 69 percent in rural areas.
“Agriculture remains the heartbeat of our economy, however, productivity is still limited by heavy reliance on manual labour, while climate change continues to pose an existential threat to food security,” Mugambi lamented.
Similarly, he reported that motorised farm power usage in Kenya stands at about 30 percent, compared to significantly higher levels in more mechanised economies, adding that women and youth bear the greatest burden of labour-intensive farming systems.
“Women spend more than 40 hours a week on farming activities, while many young people are abandoning agriculture altogether,” disclosed Mugambi.
Under the partnership, the Director revealed that NCBA will finance up to 95 percent of the cost of tractors and selected farm implements, with additional working capital of up to Sh500,000 available to eligible customers after purchase.
As well, Mugambi established that the bank has also introduced flexible repayment options aligned to farming cycles.
“We understand that farming is seasonal; our repayment plans allow farmers to align instalments with harvest periods, including a 60-day grace period before the first payment is due,” he stated.
Additionally, he said that NCBA is leveraging blended finance models by working with development finance institutions and non-governmental organisations to make agricultural credit more affordable and sustainable.
All financed assets, according to the director, will be insured through NCBA’s insurance intermediary to protect both farmers and the bank.
The partnership, he maintained, aligns with the government’s National Agricultural Mechanisation Policy of 2024, which seeks to increase mechanisation levels and improve agricultural productivity and incomes.
“This collaboration is not just about machinery, it is about empowering farmers to expand acreage, improve yields and strengthen livelihoods while contributing to national food security and economic growth,” Mugambi outlined.
Meanwhile, both partners expressed confidence that the initiative will support the government’s ambition to increase agriculture’s contribution to GDP beyond current levels.
“With the right equipment and financing, mechanisation will no longer be a privilege for a few but a practical tool for farmers across the country,” Mwangi reassured.
By Naif Rashid
