NAIVASHA, KENYA – Kenya’s livestock sector, a vital part of the country’s economy, is set to undergo a transformative shift as the African Pastoral Markets Development (APMD) platform takes center stage in addressing the challenges faced by pastoralists.
Speaking during the APMD workshop organized by the African Union Inter-African Bureau for Animal Resources (AU-IBAR), with the funding of the Bill & Melinda Gates Foundation, key players from Ethiopia, Somalia, and Kenya gathered to deliberate on the future of livestock marketing.
The event, officially opened by Jonathan Mueke, the Principal Secretary of the State Department for Livestock, sought to bolster efforts to elevate the livelihoods of pastoral communities across Africa.
Stakeholders said the APMD Platform is poised to be a game-changer for pastoral economies.
Speaking at the event, Mueke emphasized that the platform is essential in driving market-led transformations in pastoralism.
“This initiative comes at a time when we must urgently address the gaps and bottlenecks in livestock marketing, productivity, and commercialization,” Mueke stated.
He highlighted the APMD platform’s pivotal role in enabling market-driven and adaptive transformations to strengthen livestock marketing systems and unlock new opportunities for pastoral communities.
Mueke pointed out that the APMD platform aligns with broader continental strategies, such as the 2014 Malabo Declaration on Accelerated Agricultural Growth and Transformation for Shared Prosperity and Improved Livelihoods.
The declaration underscored the need to prioritize agriculture as a key driver of economic growth in Africa, with livestock playing a critical role in this transformation.
In Kenya, over 80% of the land is classified as arid and semi-arid (ASAL), where livestock production remains the primary economic activity.
These regions are home to pastoral communities that rely on livestock for their income and sustenance.
According to Mueke, livestock accounts for over 70pc of the country’s meat production, with most animals grazing on natural pasture, leading to organically produced meat.
“Livestock is an important sector for the Kenyan economy with significant potential to increase competitiveness and benefit millions of people,” Mueke remarked.
He further noted that domestic demand for meat has been growing steadily, driven by factors such as urbanization, a rising middle class, and expanding export markets.
However, despite the potential, Kenya’s meat industry faces a myriad of challenges, including high post-harvest losses, low value addition, poor processing skills, and inadequate capacity to meet quality and safety standards.
These challenges have led to sub-optimal performance of the livestock sector, particularly in export markets.
One of the most pressing challenges facing pastoralists in Kenya and across Africa is the inconsistency in the supply of quality and quantity of slaughter stock.
This inconsistency, often exacerbated by frequent droughts and market-sensitive diseases, hinders pastoralists from securing lucrative market contracts.
The result is that many pastoralists remain stuck in subsistence-level production, unable to tap into the more profitable, high-value meat markets.
Mueke acknowledged these challenges, stating that livestock marketing in Kenya is predominantly carried out by individual traders, formal marketing companies, and brokers, many of whom operate in isolation.
As a result, small-scale livestock exporters often struggle to negotiate favorable prices or secure reliable payment systems, leaving them vulnerable to fraud and exploitation.
To address these issues, Mueke called for the formation of strong export cooperatives and companies that can pool resources and leverage economies of scale.
Such cooperatives would enable small-scale exporters to negotiate better deals, arrange for cargo freight, and avoid delays that can lead to spoilage and financial losses.
At the policy level, Kenya has identified the meat value chain as a key driver of its export strategy.
The country’s Integrated National Export and Promotion Strategy aims to reduce the trade deficit from Sh1.5 trillion in 2022 to a surplus of Sh 0.2 trillion by 2027, assuming an annual growth rate of 5pc.
Mueke noted that the international, regional, and bilateral trade agreements present a significant opportunity for Kenya to expand its livestock exports.
One such agreement is the African Continental Free Trade Area (AfCFTA), which came into effect on January 1, 2021. The AfCFTA has created a market of 1.2 billion people, making it the eighth and largest economic bloc in the world. Mueke described AfCFTA as a “huge opportunity” for Kenya and other African countries to catalyze growth in the livestock sector and contribute to the continent’s economic development.
However, to fully exploit these opportunities, Mueke stressed the need for stronger livestock industry associations that can advocate for better policies, provide market data, and offer public support to private sector players.
He urged stakeholders to work together to remove trade barriers, streamline supply chain logistics, and enhance market access for African livestock products.
He noted that the success of the APMD platform will depend heavily on its ability to create inclusive and sustainable market systems.
One of the key focuses of the APMD initiative is its focus on financial inclusivity, which has been a major component of the World Bank’s De-risking, Inclusion, and Value Enhancement of Pastoral Economies (DRIVE) project.
DRIVE, which was implemented in Kenya and neighboring countries like Ethiopia, Djibouti, and Somalia, provided index-based livestock insurance to pastoralists, ensuring asset protection during droughts.
This innovative approach not only safeguarded livestock but also encouraged greater private sector participation in the livestock insurance market.
Mueke underscored the importance of linking APMD’s market development goals with financial inclusivity initiatives like DRIVE.
By empowering pastoralists with access to financial services, digital platforms, and insurance products, he said the APMD platform can foster a more resilient and prosperous livestock sector across Africa.
He emphasized the need for continued collaboration and engagement among governments, the private sector, and development partners to unlock the full potential of Africa’s pastoral economies.
“The APMD platform provides a unique opportunity to address the challenges facing pastoralists and unlock new markets for livestock products. With the right policies, partnerships, and financial tools in place, we can transform the livestock sector and improve the livelihoods of millions of pastoralists across the continent,” Mueke said.