This archive report was first published on 3 July 2020.
Hotels and restaurants in Kisumu have reopened, causing a surge in demand for chicken and eggs, leading to a rise in prices.
According to Abisai Nandi, a poultry farmer in Kisumu, the increase in prices is due to several hotels and restaurants resuming operations after months of closure to contain the spread of COVID-19.
A spot check by Business Daily on Thursday established that most outlets sold a crate of eggs at Sh350 from between Sh280 and Sh300 last week, while a 1.2 kilogramme of broiler sold at Sh500 from Sh400, and traditional chicken shot up by Sh200 to Sh800 in the same duration.
Mr Nandi attributed the spike in prices to the anticipation that the government is likely to lift the current restrictions and lockdown in Nairobi next week, causing most hotels to place their orders, creating a huge demand for the products.
Western Kenya has been relying on Uganda to bridge a huge supply deficit of chicken and eggs but since the closure of the border, dealers have had to struggle to find supplies.
Unlike their Ugandan counterparts, Kenyan poultry farmers do not enjoy subsidies that lower the cost of inputs such as feeds, making their production expenses higher resulting in expensive products for the consumers.
Mr Nandi cautioned that the prices could further increase in the coming weeks due to a shortage of chicken.
The proprietor of Chicken Basket farm, who wished to remain anonymous, says he currently has an order of about 10,000 chickens, which he is yet to supply.
He appealed to the government to provide financial support to poultry farmers to enhance their capacity to produce more chicken as a way of boosting food security.
