Kenya's $2m weekly meat exports to Middle East slump due to Iran conflict

The ramifications of the Middle East conflict are hitting the headlines mainly through rising oil prices, but the impact of course stretches far wider.

The ripple effects are also affecting Kenya in the form of plunging meat exports.

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Agriculture Cabinet Secretary Mutahi Kagwe said the conflict has disrupted the flow of what is normally over $2 million worth of meat sent from Kenya to the Middle East every week.

Meat exports to the region have been reduced to below 5% of the expected level during the peak Ramadan season as the increase in air freight costs grounds shipments, Kenyan officials told Reuters.

According to the Kenya Meat and Livestock Exporters Industry Council, the Middle East is Kenya's main market for meat exports, with the United Arab Emirates traditionally accounting for 40% to 60% of shipments.

Tribe Africa Advisory's Rutendo Hwindingwi says that $2.3 million of beef and related products exported to the Middle East on a weekly basis converts to around 200,000 metric tonnes a day.

"I think at the moment they're exporting of that 200,00 tonnes just 50,000."

"The unit price per kg in terms of logistics has increased from $1.50 to about $3.50, that's more than double. So the conflct in the Middle East is also directly affecting ecosystems like agriculture from an Africa perspective."

Kagwe told a press briefing that the Kenyan government had started the process of looking at other countries for export to ensure that the affected markets are replaced as soon as possible.

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