USGC partners with Kenyan feed manufacturers to build corn and feed markets

In Washington, D.C., the U.S. Grains Council is partnering with the Kenyan feed industry and signed a memorandum of understanding with the Association of Kenya Feed Manufacturers, known as AKEFEMA, pledging to work together to develop the domestic feed industry there.

AKEFEMA represents more than 140 of Kenya’s registered feed manufacturing companies. Through the new MOU, the Council is committing to support AKEFEMA in this work by prioritizing activities that address the major constraints currently hindering industry growth, including an inconsistent supply of raw materials, feed quality concerns and poor production and management techniques.

In East Africa, the cost of feed can encompass more than 80 percent of total production costs. Corn is the preferred energy source for animal feeds in the region, but domestic supplies are increasingly difficult to source. While Kenya typically produces enough corn domestically to meet between 60 to 70 percent of feed grain demand, regional droughts are causing production shortages, increasing the cost of corn and, in turn, driving up the cost of animal feed. In combination with increasing feed grain demand, more frequent price fluctuations are occurring, which further hampers development of the industry.