Driving sustainable growth in Africa’s poultry industry

The poultry industry in Africa is experiencing rapid growth, with a 0.5 per cent annual increase, fueled by rising consumer demand, innovation, and sustainability efforts. Sub-Saharan Africa leads the continent in poultry consumption, with some regions consuming significantly more chicken per person annually than others. To delve deeper into the evolution and sustainability practices in Africa's poultry industry, CNBC Africa's Tabitha Muthoni sat down with Jim Tozer, the Managing Director of Kenchic PLC, a leading player in the sector. Tozer highlighted the significant growth in poultry production in Africa, with a 4.5 per cent increase per annum. The disparity in consumption levels across the continent is vast, with regions like North Africa consuming up to 18 to 20 kilos per person annually, while parts of East Africa only consume around 2 kilos. In Kenya, the annual consumption is about 1.8 kilos, but with double-digit growth in production and consumption, indicating a promising future for the sector. One of the primary drivers of poultry consumption in Kenya and Africa, according to Tozer, is the shift towards healthier meat choices, driven by increased urbanization and a growing middle class. Additionally, the affordability of chicken compared to other protein sources like beef has also contributed to the rising demand. However, challenges such as high raw material costs, particularly for soya and maize, still persist and impact the industry's growth potential. Kenchic PLC has been at the forefront of innovation and sustainability in the poultry industry, focusing on advancements in feed, breeding, and processing. Tozer emphasized the importance of genetics in improving food conversion ratios, leading to lower production costs and reduced pressure on raw materials. The company's commitment to sustainability is evident in its use of solar panels to drive down electricity consumption and efforts to maintain clean water sources. When discussing the African Continental Free Trade Agreement (ACFTA), Tozer underscored the opportunities it presents for the poultry sector to trade across borders and compete for new markets. However, challenges such as poor infrastructure, bureaucratic hurdles, and bilateral agreements impede the full potential of the ACFTA. To maximize the benefits of the trade agreement, addressing these obstacles is crucial. Kenchic PLC's impact extends beyond economic development, with a focus on empowering small-scale farmers through the sale of day-old chicks and providing training on sustainable poultry production. By investing in R&D, technical assistance, and modernization, the company contributes to job creation, income generation, and improved nutrition in farming communities. As Kenchic PLC continues to lead in innovation and sustainability, the company's focus on shared prosperity through sustainable food production remains paramount. By providing technical support to farmers, implementing sustainable practices, and leveraging renewable energy sources, Kenchic PLC sets a benchmark for responsible poultry farming in Africa. With a commitment to growth and environmental stewardship, the company's strategies exemplify the potential for driving sustainable growth in Africa’s poultry industry.