Supermarket chain Carrefour has splurged Sh239 billion on locally made goods in 10 years of operations and invested close to Sh15 billion to grow its footprint in Kenya, amid a stiff fight with rivals for the local market.
The retailer said that the money has been paid to its over 690 local suppliers, including farmers, manufacturers and small and medium enterprises, adding that this has created more than 3,000 direct jobs.
The local Carrefour franchise, which is operated by the Dubai-based Majid Al Futtaim, entered Kenya in 2016 and is racing against Quickmart and Naivas for a share of the local market that was left wide-open following the collapse of Nakumatt Holdings, Tuskys and Uchumi.
The three are battling for a market characterised by a fast-growing middle class and increased preference by people to buy a range of consumer products from supermarkets.
High expenditure by the retailers in sourcing goods locally has been instrumental in boosting the government’s efforts to grow the economy.
“Reaching this 10-year milestone reflects the strength of our partnership with the Kenyan market. Our focus has been on building a resilient retail ecosystem, working closely with local suppliers, empowering our people and continuously enhancing the customer experience,” Christophe Orcet, a regional executive at Majid Al Futtaim Retail, said in a statement.
Majid Al Futtaim is seeking to succeed in an economy where other foreign-owned retailers, notably Choppies, Massmart and Shoprite, struggled for years before exiting.
Carrefour has grown its footprint to 34 stores across the country as it targets a bigger share of the market.
The retailer is targeting an additional eight stores by December this year. Naivas is the leading retailer with over 100 outlets in Kenya, followed by Quickmart with more than 60 stores.
Carrefour is banking its growth prospects in Kenya on a combination of hyperstores and the normal retail outlets, a path that its rivals are also relying on.
Kenya is the fifth biggest market by sales for Majid Al Futtaim and accounted for three percent (AED 1.01 billion) of the AED 33.95 billion (Sh1.198 trillion) that the retailer made in 2024 in the 16 countries where it has a presence.
Egypt and Uganda are the other African economies where Majid Al Futtaim has a presence. In Egypt, the retailer has 115 stores and seven in Uganda.
