THE IMPACT OF FARM PRODICTIVITY ON FACTORY CAPACITY UTILIZATION OF EAST AFRICAN AGRI BUSINESS PLC

Abstract

The general objective of the research was to address the effect of farm productivity on the factory's production capacity utilization of East African Agri Business Plc. The study used survey method and a total of 30 questionnaires were distributed to selected 30 employees and 100% were properly filled and returned and also all selected employees were interviewed. Both qualitative and quantitative measurement methods are used. The method planned for the study was descriptive statistical analysis for interpretation and discussion. This study identified that, there is a crop loss of 1,323,777Kgs, which is equivalent to 294,172.67Kgs of made tea, and this production loss will have a 10% down time influence on the factory processing capacity. Even if every farm activity has its own influence, the major factors for decreasing the farm yield as indicated and verified from the study are plucking standard and fertilizer application. The farm is highly water dependent and the company is expecting this water only from rain. due to this fact the farm product is decreased and the factory down time relatively increased. From field observation, the researcher identified the plant mortality and it is another cause for farm product decrease. Therefore, based on the findings the researcher has recommended that the field management should always submit expected crop delivery, the company should design and implement irrigation project, the company should exert its maximum effort on the plucking standard, the company should find and work together without growers.