Uganda Assures Kenya on Supply of Cheaper Eggs as Prices Increase

Uganda has assured Kenya that it will be able to supply cheaper eggs in the coming weeks, as the landlocked country has managed to address the high cost of the commodity, which had caused traders to stop importing after the price skyrocketed.

According to Uganda’s Minister of Agriculture, Frank Tumwebaze, the high cost had a negative impact on production, limiting the supply of eggs in the regional market.

Because eggs produced in Kenya are very expensive, Kenya relies on imports from Uganda to keep the commodity’s price stable.

“The price of maize, which is a key component in making raw material, had shot up significantly but it has now dropped by 60 percent, this will see the cost of production drop in the coming days,” said Mr Tumwebaze in an interview in Nairobi.

A tray of eggs in Kenya now costs between Sh450 and Sh520, up from a low of Sh380 in December, depending on whether you buy it from a small shop or a big-box retailer.

The dramatic increase in local shortage has been linked by stakeholders to the high cost of production, which has caused many farmers to reduce output.

A tray of eggs now costs Sh308 in Uganda, up from Sh205 in December. This makes it difficult for Kenyan traders to buy supplies there since they will have to pay extra for transportation, raising the price once it reaches the nation.

The Ugandan minister claimed that trade negotiations between Kenya and Uganda, which aim to remove non-tariff trade obstacles in agricultural goods that have impeded successful commerce between the two countries, are advanced.

“Soon, a trade agreement will be reached that will allow increased trade between our countries in areas where we have disputes,” he said.

Since 2020, Kenya and Uganda have been engaged in a trade war over some commodities, namely milk. The disagreement has not yet been settled.

Following the government’s decision to permit millers to import yellow maize duty-free, animal feed prices in the area are expected to decrease over the coming months.

Between now and December, Kenya has established a duty-free window to allow millers and traders to import the product for processing feeds with the goal of reducing the cost.

A 70-kilogram bag of layers mash now costs Sh4,500, up from Sh3,800 in April of last year. Chick mash costs Sh4,940, up from Sh4,200, while dairy meal costs Sh2,850, up from Sh2,500.