Agribusiness and public sector collaboration in agricultural technology development and use in Kenya : a study of poultry feed processing technology

firms to market, invest, and develop technologies in Africa; and (3) develop a data base of critical information for U.S. firms to enter the technology development and transfer market in Africa. To this end, this study investigates public and private collaboration in technology use and transfer in the Kenyan poultry feed industry. Kenya"s poultry feed industry was chosen because technological issues in that industry are a major constraint to increased poultry consumption in that country. Very few countries in the world consume such a small amount of poultry meat as Kenya. Poor quality and unavailability of feed ingredients, lack of poultry management expertise, poor marketing practices, and the high cost of poultry meat are major problems that must be solved to establish a successful poultry industry in Kenya. Moreover, weak and unimaginative marketing and packaging practices have resulted in unattractive and low quality poultry products in Kenya. There is a general lack of experienced, motivated management experts to guide and train local personnel in all phases of poultry management, processing, and marketing. There is ample opportunity for investors to develop effective ways of selling poultry meat in small enough quantities to be affordable to poorer Kenyans. Past industry experience has shown that when the price of poultry meat is reduced through the introduction of modern, efficient feed and meat production practices, and when the finished product is attractively packaged, poultry consumption increases. Kenyan consumer demand for meat products is already on the rise. The demand for animal products is increasing due to rapid population growth and changes in consumer tastes and preferences. The livestock sector has to accommodate these changes in consumption. The demands for direct food production are increasing to such an extent that land for extensive grazing is becoming scarce, and therefore, livestock production systems need to undergo structural changes. The performance of the poultry feed industry has important implications for structural change in the poultry industry. One of the structural changes required in the poultry industry is the increased use of processed feeds which can sustain or increase production through yield increases. There is, therefore, a need to produce adequate quantities of high-quality feeds for poultry to meet the nation"s demand for poultry meat and eggs. The pricing structure for the raw materials for poultry feeds has been identified as a constraint in the poultry feed industry. The price control structure needs to be reviewed for both the raw materials and the final product -- the feed. In addition, alternative sources of raw materials for poultry feed manufacture are needed to reduce dependence on the feed sources whose prices continue to rise. On-farm feed mixing is yet another option that requires further investigation. Since the raw materials are available in the rural areas, the cost of feed could be reduced by promoting rural processing. Furthermore, other sources of poultry feed require research, as is the case of soybeans and sorghum, as well as lupin and amaranth. These alternatives would ease the pressure on the processed feed industry. The need for quality control is emphasized for both the raw materials and the manufactured feed to ensure the productivity of the poultry industry. Quality control is especially important for protein-containing raw materials. This study assesses the poultry feed industry in Kenya, focusing on availability of raw materials for the manufacture of feeds. The factors that determine the availability and quality of poultry feeds are discussed. The performance of the feed manufacturing industry is then investigated. The study reviews the performance of the industry within the context of the quality of feeds, which is determined by availability or lack of ingredients in poultry feed formulations. Finally, the study proposes areas where further research work will be required to increase the production and availability of poultry feeds. One area investigated is the potential utilization of alternative poultry feeds, including oil seed byproducts and sorghum. Some of the key problem areas in the poultry industry which, if addressed, could minimize the cyclical nature that has characterized the industry in the past are: (1) unavailability of feeds; (2) quality of feed; (3) disorganized marketing arrangements and information; (4) lack of established quality control measures; (5) inadequate research data, particularly at the farm level; (6) lack of effective extension services at the farm level to handle poultry management problems; (7) inadequate policy guidelines on the issues related to the production of raw materials and manufacture of poultry feeds; (8) high price of poultry feeds; (9) lack of adequate credit facilities to assist poultry farmers; and (10) inadequate allocation of foreign exchange with which to import breeding stock and ancillary supplies such as poultry health products and vaccines. (Author abstract)