Feedloters, Processors Forge KShs 260 Million Deals

By Cecilia Ngunjiri

A market coordination and investment matchmaking forum has unlocked an estimated KShs 260 million in potential business value for Kenya’s livestock sector, a move expected to drive economic growth throughout the entire value chain.

This follows a two-day forum that sought to enhance private sector integration, investment and strengthen coordination between feedloters, meat processors and policy makers for a more competitive, sustainable, and market-oriented meat value chain in Kenya.

The private sector-led roundtable discussion and B2B deal room was convened by the African Union–Inter-African Bureau for Animal Resources (AU-IBAR) through the African Pastoral Markets Development (APMD) Platform in Naivasha, Nakuru at the weekend.

Livestock contributes 12 percent to Kenya’s GDP and 40 percent to agricultural GDP, yet remains informal, with over 80 percent of pastoral beef sold through unstructured, low-value markets limiting profitability.

Preliminary assessments show the forum enabled key industry players to form new partnerships, secure supply agreements, and sign Letters of Intent (LoIs), strengthening collaboration and unlocking business opportunities across the sector.

Among the notable deals were those between GENCO Livestock and Fresh Meat Export and Kipeto Feedlot of Kajiado County for the supply of quality animals while ABF United will supply bales of boma rhodes hay to Mackinnon Feedlot, a premier livestock feeding and export quarantine facility.

KenMeat EPZ Ltd partnered with Isinya Feedlot for livestock supply, while separately securing an agreement with Manha Feedlot to procure animals, strengthening its sourcing network and ensuring a steady supply for its operations.

APMD Platform Coordinator John Oppong-Otoo said the forum further promoted investment knowledge exchange and private sector engagement through a structured platform for dialogue, knowledge sharing, and partnership building.

“The forum allowed participants to secure suppliers, establish partnerships, and explore technical support opportunities, strengthening long-term business relationships. APMD will continue working closely with national associations and partners to make this happen,” he said.

Feedlot operators pledged to scale production for consistent quality and volume, while processors plan to boost value addition through modern facilities and certification systems to enhance supply reliability, product consistency, and competitiveness in regional and international markets.

“Meat processors and exporters have now understood and appreciated why we always seek high prices for our animals unlike the free-range animal keeping. Our feeding is intensive to improve on quality,” stated Mary Anjeline of Havila Farms.

Aden Nur Dahir, Chairman of the Kenya Meat and Livestock Exporters Council (KEMLEC), called for increased investment in commercial farming, feedlot systems, and value addition to remain globally competitive.

Financial institutions pledged support for livestock enterprises through working capital and asset-based financing, complemented by indemnity insurance and loan guarantee funds, aiming to improve producers’ cash flow, reduce buyer risks, and strengthen overall supply chain liquidity.

“We are ready to support and improve the sector. We already have feedlot solutions at our bank and would encourage farmers, processors and exporters to bank with us to build profiles for ease of financial support,” stated George Kabiru of Equity Bank.

Estimates from participants suggest the new partnerships could deliver returns on investment of between 12 and 18 percent within the first operational cycle. The gains are expected to be driven by reduced transaction costs, better feed conversion efficiency, and expanded market access.

AU-IBAR consultant Said Ali noted that by matching offtakers’ procurement requirements with producers’ offerings, the Naivasha forum demonstrated how market linkages can develop into a data-driven, investment-ready ecosystem, delivering meaningful economic benefits alongside positive social impact.