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Cheap Fish from China Poses a Negative Effect on Kenyan Businesses

BY Soko Directory Team · January 29, 2018 07:01 am

Fish imported from China have flooded the Kenyan market due to the shortage of supply from the local market.

This has led to a negative effect on local businesses that are not able to make sales as customers are in for cheap fish from China.

Currently, a kilogram of Chinese Tilapia is retailing at a market price of between 150 to 300 shillings while the same variety from Kenya goes at 400 shillings.

The Nile Perch on the Kenyan variety, on the other hand, is being sold at 320 shillings for a kilogram.

In 2016, China’s fish exports to Kenya hit the 1-billion-shilling mark for the first time last year, adding impetus to concerns that the Asian nation is flooding the local market with seafood to the detriment of local fishermen.

Kenya’s appetite for Chinese fish imports grew 60.2 percent to 1.02 billion shillings in 2015 compared to 624.1 million shillings a year earlier, according to the Kenya National Bureau of Statistics (KNBS).

Addressing the concern, Industrialization and Enterprise Development Cabinet Secretary Adan Mohamed defended fish imports, stating that the country only imports to fill the gap in supply.

“We have investors who are looking at investing in fish in Lake Victoria. Rather than being worried about what we are importing. We import because there isn’t sufficient supply,” said Mr. Mohamed

Speaking during a parliamentary Committee on Trade, Industry, and Cooperatives, the CS mentioned lack of fish feeds as the major challenge affecting production.

“Lack of fish feeds is a key bottleneck. Tilapia is being imported today. We don’t necessarily ban imports but we make sure that imports that are coming to our country pay the necessary duties and levies,” said Mohamed.

Furthermore, the CS disclosed that some investors were engaging in commercial farming in Lake Victoria to supplement fish farming done by small and medium-sized businesses.

“Components of fish feeds in some cases have to be imported. But we are working on that and industry players to see how we can address the identified challenges,” he added.

Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system.Find us on Facebook: facebook.com/SokoDirectory and on Twitter: twitter.com/SokoDirectory

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