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Kenya imports cheap food increasingly

Kenya imports cheap food increasingly

Image from Business Daily Africa


The 2018 economic survey showed that Kenya's trade with its members fell from $1.26 billion in 2015 to $1.14 billion in 2017.

Data from the State department of fisheries indicate Kenya imported 22,000 tonnes of fish mainly from China, worth Sh1.7 billion against Sh1.5 billion the previous year.

Earlier in the month, the Directorate of Horticulture said Kenya was now importing half of the total garlic demand from China. In a year, the country produces about 2,000 tonnes, which is not enough to meet the annual demand.

More than 80 percent of Kenyans living in the rural areas are engaged in agricultural activities, with agriculture contributing about 34.6 percent to the country's GDP, according to the 2018 Economic survey.

Supplies from Tanzania and China have found their way to other markets around the country too.The situation is no different for processed goods, with supermarket shelves especially in Nairobi mainly occupied by cheaper foreign products, including peanut butter, sweet corn and tomato sauce from the United Arabs Emirates, a desert. A variety of fruits like grapes and apples on the shelves are sourced from various markets, including Lebanon, South Africa and Israel, while exotic ones like the kiwi fruit come from Italy.

The United Nations Food and Agriculture Organisation (FAO) estimates that agriculture's direct contribution to Kenya's GDP is about 26 percent.

The green economy contributes about 65 percent to Kenya's total export earnings and employs about 40 percent of the population.The declining output and growing import confirm the neglect the sector is suffering owing to, among other reasons, punitive tax measures. The re-introduction of the 16 percent VAT on fertiliser is one of the tax-based limitations making agricultural production in Kenya an expensive affair.

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