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HomenewsKenya Meat Commisson Records Profits After KDF Takeover

Kenya Meat Commisson Records Profits After KDF Takeover

A report has shown how the controversial military takeover has transformed the Kenya Meat Commission (KMC).

The Kenya Defence Forces (KDF) took control of the meat firm in 2020 following an order from President Uhuru Kenyatta.

Following the takeover, the firm was revamped at a tune of KSh 80 million and later relaunched in May, 2021 by Uhuru.

Further, the Kenya Defence Forces pumped KSh 1.4 billion to KMC after the National Assembly approved the expenditure in the Supplementary Budget.

The Treasury has increased the budget for the military-run KMC by KSh 1.4 billion (297.87%) from KSh 470 million to KSh 1.87 billion in the current financial year.

“The increase is on account of enhanced security operation, Kenya National Shipyard, revitalisation of the Kenya Meat Commission and personnel emoluments,” the Defence ministry revealed in submission to Parliament.

By the time KDF was taking over KMC, the firm was handling between 8 to 10 heads of cattle per day.

However, after the takeover, KMC now handles over 300 heads of cattle in a single day with the minimum number of cattle slaughtered per day placed at 147.

“What we have done is to ensure that the operations at the factory are efficiently run, and to keep this plant running we ensure that we pay suppliers in under 72 hours,” Brigadier James Githaga, the managing commissioner at KMC said.

With this momentum, KMC turned a profit of almost KSh 150 million in the first 3 quarters of the year compared to KSh 5 million before the takeover.

“Currently we are doing sales of more than KSh 300 million and in terms of procurement, initially we had a supplier base of 20 farmers but we have since increased that to over 1,200,” Githaga added.

Githaga says that KMC is now seeking ISO certification which will allow them to export meat products outside the country.

The meat processor is also looking at franchising meat retail shops in different parts of the country.