Making a case for Kenya's White Gold

By Martha Nyambura

Jan 2011

Pastoralists in semi-arid and arid areas must embrace innovation to manage risks that stem from prolonged drought.

“Pastoralists in Kenya continue to face risks brought about by drought, conflict and unfavorable livestock marketing policies says “, Dr.Hussein Mahmoud a senior lecturer at Pwani University College in Kilifi.

Speaking at a  pastoralists forum  dubbed the’ University of the bush’ at the Malka Bisan Adi cultural group, Kiina division , Dr.Mahmoud cited the need  for  new approaches if pastoralists are to have sustainable development

Livestock trading in recent years has experienced tremendous growth due to expanding markets and networks.  Sales volume of key pastoral livestock species of camel, cattle, sheep and goats has soared as regional markets expand to accommodate growth.

 The exponential growth of Garissa market in northeast and Moyale in northern Kenya is mainly attributed expanding cattle sales since the late 90s. The camel market has started picking in recent years with Moyale market having a turnover of one billion shillings in a year. A camel is eighth times that of a cattle. A small camel goes for Sh 25, 000 and a medium sized camel fetches around Sh 45 -80, 000.

The livestock turnover in the country is about Sh 2billion in a year a figure that Dr. Mahmoud cites as low due to failure by government to tap into this emerging market. Cattle in the country remain a commodity for consumption with camels being exported to the Middle Eastern countries in large numbers.

Dr. Mahmoud attributes this growth in the market to changing perceptions over time. Camels are desert animals and they have a high drought resistance, making them a better investment compared to cattle. It is the persistent drought in Northern Kenya that is leading to the heavy investments by residents in this sector.

Moyale is the hub where camels from southern Ethiopia, southern Somalia, and northern, northeastern and coastal Kenya converge for sale. The camels are transported in on two different routes to Egypt. One  via trucks from Moyale-Nazareth-Djibouti then to Egypt by sea and  from Nazareth-Hamara in Ethiopia to Sudan.

Camels are sourced from Moyale due to escalating prices in Sudan and the recent conflict in Darfur closed up the market. Middle Eastern consumers demand for a cheap source of protein has been a major contributor to the growth of the trade. 

Camels from Ethiopia, Eritrea and Sudan are mainly consumed in Egypt. Ethiopia is the transit point for most of the camels as it has favourable government policies making it easy for the traders to conduct their business.

The trade is dependent on brokers, who act as the middlemen negotiating on price and storage fees.  They act as a link between the Sudanese exporters and local pastoralists and sometimes as guarantors for both sides.

Pastoralists in Garissa are now diverting their camels to this pristine market where the returns are higher.  As more camels go to the Moyale market for export to the Middle East, urban consumers are been deprived of their camel demand.

 Kenya continues to lose billions of shillings by not investing in this new venture while countries like Ethiopia and Sudan reap the benefits.

(Written in 2011)