KIST, a brand with more than 70 years of heritage marketed by Cargills Food and Beverage Limited, has reached a significant milestone in its Aloe Vera cultivation initiative, with participating farmers delivering their first harvest to the KIST fruit processing facility in Kilinochchi.
The Aloe Vera cultivation programme was introduced under a contract farming model aimed at promoting sustainable agricultural practices while creating long-term livelihood opportunities for farming communities in Kilinochchi. Implemented with the support of Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, the initiative focuses on empowering 100 women farmers by providing them with essential cultivation equipment, technical guidance and agricultural extension services.
Participating farmers also receive financial assistance facilitated through Cargills Bank. Corporate guarantees provided by Cargills Food and Beverage Limited allow farmers to access financing without having to meet traditional collateral requirements, helping reduce one of the key barriers to agricultural investment.
Under the programme, KIST purchases harvested Aloe Vera at a pre-agreed price, giving farmers a clear and predictable commercial pathway for their produce. The delivery of the first harvest marks an important step in demonstrating the viability of the contract farming model and establishing a consistent local supply chain.
Continuous supervision and technical assistance from the company have also contributed to improvements in farming productivity. The average weight of an Aloe Vera leaf has increased from approximately 350 grams to 500 grams, reflecting improved cultivation practices and greater efficiency among participating farmers.
Aloe Vera is widely recognised for its cosmetic and medicinal applications, with demand continuing to grow due to consumer interest in products associated with natural health and wellness benefits. By developing local Aloe Vera cultivation, the initiative aims to strengthen domestic agricultural production while creating a reliable supply of raw materials for Sri Lanka’s food processing industry.
Commenting on the initiative, Arjuna Kumarasinghe, Managing Director of Cargills Food and Beverage Limited, said: “We will continue to encourage farmers to adopt high-tech agricultural practices to enhance productivity and increase output volumes, in order to better support the requirements of commercial fruit processing. This will strengthen the agricultural value chain and contribute to a more efficient and sustainable farming ecosystem. Through initiatives such as these, KIST remains committed to delivering its promise of Trusted Taste & Goodness while creating lasting value for farmers, consumers and the nation.”
The harvested Aloe Vera is processed at the KIST fruit processing facility in Kilinochchi, which serves as the company’s primary fruit processing facility. The facility is also an important contributor to the local economy and is operated almost entirely by women, reinforcing Cargills’ focus on women’s economic empowerment and inclusive development.
The processed Aloe Vera is used to produce KIST Aloe Vera Drink, enabling value addition to take place locally while connecting rural farmers directly to the consumer market.
Beyond Aloe Vera, the Kilinochchi facility processes locally cultivated fruits including mango, passion fruit and woodapple. These ingredients are used in the production of KIST’s range of fruit nectars and jams, further strengthening the connection between local agriculture, value-added food production and rural livelihoods.
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