Egg traders have defended the move to import eggs from neighbouring countries, citing insufficient supply of the commodity in the local market.
Dennies Mwangi (not his real name) said he gets his egg supplies from Uganda via Busia border. He said the eggs are not cheap as perceived, but come with the assurance of constant supply, unlike in Kenya.
“Even as farmers complain of an egg glut, the local market is still not able to meet the demand,” he told the Star.
Chicken farmers in Kenya are complaining of an egg glut in the market, claiming cheap eggs coming from neighbouring countries are killing the local market.
Wairimu Kariuki, the Kenya Poultry Farmers' Association national chair, confirmed the oversupply that has led to a decline in prices.
With the free common market in East Africa, traders are able to buy and sell products to other countries. But Kariuki said before the Trade ministry allows importation of any product, it should be informed by the
Agriculture ministry
on whether there is scarcity of the product and if it is needed in the country.
“We talk about the East Africa trading block but some of those products are not brought in the official way, where the owners pay duty, but they come in illegally,” Kariuki said.
“I believe if they are brought in legally, some of the products will not be sold at a lower price than what is being sold locally. If you are able to bring in and sell at a lower price, then you are killing the local industry, and this is not allowed by the World Trade Organisation.
“Competing with the same product at a lower price is considered dumping. Unfortunately, this is what is happening, and no government officer is accepting this.”
The chair said she has met with some of the traders personally in Kisumu because she needed to get the facts right.
“One trader told me that buying eggs from Uganda is not cheap, but what is important is that he is assured he will get enough supply. But he is not guaranteed of getting enough eggs in Thika or Kiambu, or sometimes he may not get any eggs,” she said.
Kariuki said they have talked about the VAT issue with the government for many years. But the challenge is that Kenya is a net importer of raw materials, including maize. Feed millers get their materials from as far as Brazil or India, and this makes feeds in Kenya a bit expensive.
She said with the crisis, farmers are now talking about forming cooperatives to help them in selling their products.
“I have told them for so many years to come together and form strong organisations that they will use to trade and lobby, as the association deals with policy bit,” said Kariuki, who is also the vice president, Poultry Association of East Africa.
“Farmers can also be able to buy their own raw materials and mix their own feeds. I hope once formed, the
organisations
will not die as soon as the problem is over.”