Biovision Africa Trust Launches The O-Farms II Project Funded by Bopinc and Holds a Validation Workshop for A Study on Analysis of Policy Inhibitors and Enablers of Small and Medium Enterprises (SMEs) In Zero Waste and Circular Economy Products
On February 24th and 25th 2025, Biovision Africa Trust (BvAT) convened a two-day validation workshop at Verona Hotel, Nairobi, to validate the findings of a policy study on inhibitors and enablers for Small and Medium Enterprises (SMEs) In Zero Waste and Circular Economy Products in Kenya and Uganda. The study, conducted by AGILE Consultants and funded by BOPINC, is a critical component of the O-Farms Phase II initiative, which aims to accelerate circular enterprises to design out food waste in East Africa while building a supportive ecosystem for future enterprises.
The workshop brought together twenty (20) key stakeholders, including representatives from the Kenya Bureau of Standards (KEBS), the National Environment Management Authority (NEMA), the African Organization for Standardization (ARSO), the Kenya Extended Producer Responsibility Organization (KEPRO), SMEs in the zero-waste sector, farmers, and private sector organizations.
The study sought to identify and document current zero-waste and circular economy policies and regulatory frameworks focused on SMEs. It also analyzed limitations, gaps, and constraints in existing legislation and policy processes related to the circular economy in Kenya. Furthermore, the study sought to provide recommendations to address policy inhibitors and barriers, with a focus on at least three key inhibitors. In addition, a regional policy and advocacy implementation plan with clear targets and timelines will be developed, along with a country-specific policy brief for Kenya outlining key findings and recommendations.
In his opening remarks, Dr. David Amudavi, the Executive Director of Biovision Africa Trust welcomed all the workshop stakeholders with optimism that the workshop would culminate in the validation of 3-5 key policy barriers to the growth of SMEs in zero waste and circular economy. He underscored the need to support the SMEs in zero waste and circular economy through enabling policies.
Ms. Venancia Wambua in her opening remarks introduced the participants to the O-Farms II project funded by BOPINC. She informed the stakeholders that O-Farms II came on board after the successful completion of O-Farms I which was implemented for 4 years and supported 40 SMEs (20 in Kenya and 20 in Uganda). She added that O-Farms II has increased the number of SMEs to 100 (50 in Kenya and 50 in Uganda) and brings on board a strong policy component that was not there in O-Farms I and was necessitated by the policy barriers experienced by SMEs. She further stated that Biovision Africa Trust (BvAT) takes the lead in the Policy component due to its wealth of experience in policy development in the organic and agroecology sectors. BvAT will co-implement the project with Pelum Uganda in Uganda for 4 years.
During the workshop deliberations, stakeholders noted that SMEs in waste management must obtain multiple licenses depending on their role in the value chain, such as for transportation, disposal, or recycling. On the one hand, KEBS oversees product standardization to ensure safety, quality, and eco-labeling; however, many SMEs lack awareness of these standards. On the other hand, ARSO plays a role in harmonizing standards and providing conformity assessments for SMEs engaged in international trade. Also, KEPRO offers incubation programs to support SMEs transitioning to circularity, while sustainability standards for circular products must align with governance, social, environmental, and economic pillars. Harmonizing the roles of these institutions and organizations to create an enabling environment for SMEs would be an important step.
Dr. David Amudavi, in his further remarks, pointed out five key principles that could guide the engagement of SMEs in the circular economy. These principles could be summarized into a 5Cs Framework as follows:
- Co-creation – leveraging individual knowledge and experience for sector and product development.
- Capacitation – building SME capabilities in circular economy practices and products.
- Customer focus – producing products that meet market needs.
- Creativity and innovation – fostering innovative solutions to drive developments in circular economy.
- Compliance – adhering to local and international regulatory frameworks and procedures.
The workshop thus identified a total of nine (9) policy barriers. Of the identified nine (9) policy barriers, 3 major policy barriers included:
- Limited access to finance for the implementation of requirements (infrastructure) – The workshop identified several strategies to enhance access to finance including government subsidies, grants, and low-interest loans that can provide financial relief. Also, green bonds and impact investing can attract capital for sustainable projects. Furthermore, Public-Private Partnerships (PPPs) can facilitate financing and technical support. SME networks can also pool resources and leverage collective bargaining whereas crowdfunding platforms provide an alternative funding source.
- Limited access to appropriate technology and innovations – Key interventions recommended include the identification and categorization of SMEs involved in the production of relevant circular economy products; training and incubation programs for artisans, jua kali workers, and producers; and financial support from development partners, banks, and government agencies for acquiring necessary infrastructure such as machines, internet, and power.
- Low political goodwill, & Weak policy implementation and enforcement – Recommendations included establishing a national body for circular economy advocacy involving key stakeholders such as the Ministry of Trade, Cooperative Societies, and NGOs; raising awareness among policymakers on the economic value of circular products; integrating circular economy principles into national and medium-term development plans through government ministries such as the Ministries of Trade and Environment; and introducing business incentives such as tax breaks and grants to encourage sustainable practices while strengthening relationships between SMEs and policymakers.
As the rigorous two-day workshop ended, Dr. David Amudavi thanked the AGILE Consultancy firm for compiling the policy report. He also acknowledged the contributions of each stakeholder who attended the workshop while stating that the undertaking is deemed to support the SMEs in zero waste and circular economy in the country. The focus will now be on the three main policy inhibitors and drawing a collaborative policy component to address them. He noted that if resources allow, a physical stakeholder meeting would be reconvened to disseminate the final study findings. He also called upon the respective stakeholders to involve BvAT in similar workshops or brainstorming sessions. Importantly, collaborations between the stakeholders are important more so among SMEs.
Prepared by Ms Venancia Wambua