Chief Executive Officer
AKEFEMA
The Association of Kenya Feed Manufacturers (AKEFEMA), is a business membership organization registered in Kenya as the official representative body for the livestock feeds industry. Its mandate is to promote a conducive environment for feed businesses and promote profitable livestock farming in Kenya through producing quality animal feed. We promote a vibrant business environment that draws member benefits through cooperation and coordination of all policy stakeholders and value chain actors for the delivery of quality feedstuffs and related services
AKEFEMA’s operations are structured into specialized experts’ committees that deliver specific mandates relevant to the work and sustainability of the association. These committees drive and facilitate various platforms to enhance, protect, and ensure the present and future interests of the industry.
KENYA MILLING ENVIRONMENT
The Kenyan feed industry is dealing with daunting three major challenges: availability of raw materials, cost, and quality of feed. Most of our feed ingredients are imports, over 80%. This heavy dependence on imports exposes the industry to all international financial and political factors that have a significant effect on the price and quality of raw materials. Fluctuation of the dollar and wars in Eastern Europe, the Mediterranean and the Red Sea have significantly affected our international commodity routes, hence contributing to increased cost of feeds. Regional policies on and the slow embrace of biotechnology in agriculture, continue to affect crop productivity enhancing the dependence on imports and narrowing suitable source markets for raw materials.
There is a need to increase domestic production of key ingredients like maize and soya, which are major feed ingredients and comprise up to 75%, depending on the feed type. This strategy would not only lessen reliance on volatile imports but also stabilize costs and create a more sustainable supply chain for a healthy feed industry
ADDRESSING CHALLENGES
To address the challenges of raw materials, the association is taking an active role in pushing for favourable policies to increase the adoption of biotech in crop farming to increase local production. We are offering a ready market for sunflower, cotton and maize farmers, to promote interest in producing these crops. We are working to promote access to diverse ingredients by promoting use of alternative sources of energy and protein, like Distilled Dried Grains Soluble (DDGS) and Black Soldier Fly (BSF) that are cheaper than conventional imports.
The association has upscaled training for its members on the code of conduct for quality milling. Working with quality regulatory institutions to train our members on quality standards and procedures. The Kenya Bureau of Standards has been supportive to members as regulator on sensitizing our members on quality. We are working with higher institutions of learning to link academia with the industry. The industry is supporting the institutions of learning to produce animal nutrition graduates who understand issues in the industry and can be quickly absorbed by the industry. We feel this will produce a competent workforce to produce quality feeds. We have expanded our membership to bring onboard farmers, tech companies and equipment suppliers to bring together key players in the feed value chain and provide inhouse solutions to production challenges.
The government has been supporting the industry to bring the cost of feed down, for 13 months, the government forfeited income from feed ingredients allowing all ingredients to be imported duty-free from February 2023 to February 2024. However, due to the war in Ukraine, and the Middle East and the fluctuation of the Dollar (Currency for international trade), there were no significant drops in the price of feed. However, major millers were able to maintain a steady price that cautioned farmers from these international factors that had affected prices of many agricultural commodities.
The country is also just bouncing back from the effects of COVID-19 on business, especially as it relates to the availability of poultry stocks. Most breeders lost parent poultry stocks during the COVID-19 period. The long drought between 2021 and 2023 saw farmers lose over 2.5 million cattle in two years. This meant reduced customers for our feed and increased demand for animal protein due to reduced supply.
BUSINESS OPPORTUNITY
The Eastern Africa region, comprising Kenya, Uganda, Tanzania, Rwanda, Burundi, South Sudan, DR Congo, Somalia and most recently Ethiopia has been experiencing an increase in population growth. The population is estimated at 450 million in 2023 and it is projected to double by 2050. With an annual population growth rate of 3%, the demand for animal protein: egg, milk and meat, is increasing annually. The region has a livestock population of over 650 million (66% ruminant and 34% non-ruminant). However, each of these countries in the region experiences a feed deficit. The case of Kenya has a 60% feed deficit according to Kenya’s Ministry of Agriculture and Livestock reports. This provides good business opportunities in the feed industry.
To meet the demand for both animal protein for humans and feed, the region needs to employ new strategies in the sector. Innovative science and technology, though not the only solution, can be used to contribute to finding sustainable agricultural solutions. For right technology and efficient production strategies, the country and the region are ready for feed industry growth. With a large skilled labour population, a feed deficit, a large population to feed and a supportive government, Kenya is a leading player in the regional feed industry, and is leading the region in setting up a conducive environment for the feed industry investments along the entire value chain.
AKEFEMA FEED EXHIBITION AND CONFERENCE (AFEC) – NAIROBI, 2024
Key industry players are working to open up the market for a profitable feed industry that is capable of meeting the demand in the East Africa Region. AKEFEMA is organizing the first Regional Conference in the East Africa on Feeds: AKEFEMA Feed Exhibition and Conference (AFEC) – Nairobi, 2024 to facilitate livestock industry knowledge sharing. Industry experts and practitioners will be sharing their knowledge and experiences to support the livestock industry in the region to be innovative and develop resilience to survive in the ever-changing feed industry landscape. The theme of the conference is “Resilience and innovation in an ever-changing feed industry landscape” for enhanced food security in the region.
AFEC – Nairobi, 2024 will be held at the Safari Park Hotel Nairobi, from 16th to 18th July, 2024. It will feature presentations and training on trends, emerging technologies in feed formulations and production, animal production, genetics, nutrition, health, business, and many more. Suppliers of raw materials, science & technologies, finance, equipment, and facilities used in animal feed production will exhibit their products and services to the feed millers and livestock farmers who will be attending as delegates.
This is a regional transforming forum and we invite all to visit www.afec.co.ke or write directly to Paul at [email protected] for details and registration.
