CABI Study Leads to Assessment of Kenya’s Dairy and Beef Sectors and Opportunities for US Investment
25 September 2024, Kenya: A CABI-led study has resulted in the United States Department of Agriculture Foreign Agricultural Service (USDA-FAS) publishing a Global Agricultural Information Network (GAIN) report which assesses Kenya’s dairy and beef sectors and opportunities for US investment.
Scientists from CABI’s regional centre for Africa based in Nairobi, Kenya, undertook research and analysis of the livestock value chain in Kenya across two tiers to see if it might be further strengthened through investments, trade and collaborations with the United States agricultural sector.
The findings of the research have now fed into the USDA-FAS GAIN report which highlights that the Kenyan dairy and beef sectors are important drivers of the country’s economic growth, yet both sectors are unable to meet domestic demand.
Opportunities for US technical capacity building
The challenges facing Kenya’s dairy and beef sectors present opportunities for US technical capacity building in research, knowledge, and technology transfer, the report states.
Such opportunities include enhanced trade in improved genetics, capacity building in the use of Artificial Insemination, access to high-quality feed through trade in feed and feed ingredients, and improved disease surveillance and treatment.
Half of Kenya’s agricultural workforce is employed in the country’s livestock sector which in 2020, for instance, was worth USD $995 million. The subsector raises nearly 16 million cattle and calves alone.
Yet, while the livestock sector is a key part of Kenya’s agricultural sector, but it remains underdeveloped, is largely informal and unorganized, which often results in low productivity, and farmers are not able to realize maximum profits for their stock.
Other constraints include inadequate market infrastructure and marketing systems and weak animal health services which all add extra pressure on a livestock sector facing growing demands for food, jobs and income.
Dairy and beef sectors are important drivers of the economy
Dr MaryLucy Oronje, CABI’s Senior Scientist, SPS, said, “The Kenyan dairy and beef sectors are important drivers of the economy, contributing over eight percent to the economy.
“Despite this, current dairy production meets approximately half of domestic demand – estimated at eight billion litres. Similarly, while beef constitutes approximately two thirds of all meat consumed in the country, Kenya is unable to meet domestic demand for beef.
“The dairy and beef value chains in Kenya are integral to the country’s agricultural sector, playing a vital role in food security, employment, and economic growth. However, these subsectors face a range of interconnected challenges that impact their overall performance and efficiency.
“Understanding these challenges is critical to improving the efficiency of the sectors, strengthening market access, and fostering long-term resilience.”
Ways in which the identified challenges can be overcome
The report goes on to highlight various ways in which the identified challenges can be overcome. These include improving nutrition standards of the cattle at the smallholder level by developing and using high-quality varieties of forage crops, promotion of high-quality alternatives to maize, and reduction of raw material costs used to manufacture feed and feed supplements.
Other recommendations include improving the knowledge and skills of livestock farmers. For example, enhanced surveillance and control of diseases at the national level and enhanced fodder and water availability throughout the year could be strengthened through the establishment of feed reserves at national and county levels and on-farm by farmers.
Dr Oronje added, “The challenges facing Kenya’s dairy and beef sectors present opportunities for US technical capacity building in research, knowledge, and technology transfer.
“This could include embryo-transfer, genomic testing and sexed semen, modernization of research and development infrastructure such as equipment and smart mechanization and instrumentation.”
She stressed that opportunities for strengthening farmer capacity include establishing scaled-down modern dairy demonstration farms, improved access to farm credit and financing, organizing the value chains, and establishing market information systems.
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