Kenya: Feeds price surge looms on raw material shortage

Published 2021년 6월 15일

Tridge summary

Kenya is experiencing a shortage of animal feed due to a decrease in the production of by-products used in its manufacture. This shortage is attributed to reduced flour demand and financial constraints leading consumers to mill their own flour. As a result, the price of by-products like wheat bran and maize germ has significantly increased. Animal feed manufacturers have raised prices, but due to low farmer demand, increases have been waived. The situation is leading to increased feed costs and profit margins disappearing for millers.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Production of animal feeds has been hit by a shortage of by-products for processing as millers scale back on flour output due to low demand on shop shelves. Farmers are reporting a shortage of feeds, a situation that is likely to increase prices in the wake of supply constraint. The Association of Kenya Animal Feeds Manufacturers says the shortage has seen the price of major by-products used in the processing of meals go up significantly. For instance, a kilo of wheat bran has gone up to Sh34 from Sh17 previously, wheat pollard is now selling at Sh26 from Sh21 while maize germ is going for Sh26 from Sh19 for a kilo, marking the fourth time since the beginning of the year that the costs of these ingredients have been going up. “The situation has worsened with the shortage of key byproducts impacting on manufacturing of animal feeds,” said Martin Kinoti, the association’s secretary-general. The shortage has been occasioned by reduced demand from consumers, as most of them have opted ...

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