United Kingdom’s trade envoy to Kenya and Tanzania, The Lord Clive Richard Hollick has today launched the new Turkana offices of the Kenya Markets Trust in Lodwar, Turkna County.
Kenya Markets Trust (KMT) is a Kenyan organization that works in partnership with the private sector, county and national government to unleash large scale, sustainable market growth by changing the underlying incentives, capacities and rules that shape how markets work. KMT currently receives its funding from, among others, UK’s Department for International Development (DFID), as part of UK’s programmes targeting economic development and creation of resilience in Kenya.
In the Arid and Semi-Arid (ASAL) parts of the country, KMT is working to ensure increased income to pastoralists from the sale of livestock and livestock products. 80% of Kenya’s Livestock comes from ASALs, but only 14% of this is sold into the market.
KMT understands that if pastoralists have access to animal health inputs, proper insurance, improved land management and improved market relationships, then quality and quantity of livestock supply will improve.
Towards this end, the organisation has a range of interventions including helping form business linkages to improve live animal trade for reliable quality and quantity supply to the markets, helping improve access to quality and affordable private sector-led animal health delivery services, and facilitating insurance companies and pastoralists to embrace commercial index based livestock insurance to cushion pastoralists from losses during times of drought.
Given the importance of Livestock Sector to Kenya’s economy- the sector contributes 10 -13% to Kenya’s GDP, and 40% to the country’s Agricultural GDP- KMT’s work in the sector will greatly impact the country’s income.
Kenya brags of its net surplus in production of Sheep and Goats ranging over 40% of its local consumption numbers. According to 2014 estimates, the country had over 29 million goats and 27 million sheep. 80% of Kenya’s Livestock’s comes from ASALs, however only 14% of this is sold into the market.
Kenya has a net deficit of 18% production to meet its total national demand, thus rendering it least advantaged to export beef due to production inefficiencies. Kenya’s’ beef is 10% more expensive relative to the regional beef produced.
According to a survey done by Export Council of Kenya, the total meat exports to Middle East countries was estimated to be about USD 5.1 billion estimated as 6.5% of total world demand of meat at USD 84.4 billion.
KMT’s physical presence in Northern Kenya will help join the dots to help stakeholders sustainably tackle the challenges Livestock sector faces.
Lord Hollick was accompanied by the British High Commissioner to Kenya, H.E Nic Hailey, and a delegation from the British High commission.