Kenyan exporters count Ksh.1B losses as Israel-Iran war disrupts Middle East trade

Meat exporters, who had planned to make a killing from the high demand for meat in the Gulf countries during the Ramadan period, have been left with piles of stock, as flights to the Middle East region remain grounded.

These carcasses of meat, which should have already landed in the war-torn region, moved back to the cold rooms, which are now full to capacity, with the Kenya Meat Livestock Exporters Industry Council (KEMLEIC) enumerating the losses.

"Any meat that we slaughtered on Friday and Saturday has not left the country and we have not been able to slaughter meat from Monday to date. And we are looking at a loss of about Ksh.1 billion for the five days that we have not been able to slaughter," stated Nicholus Ngahu, CEO KEMLEIC.

"On Saturday, we had one flight, but it unfortunately returned back. When we have a situation, we are forced to return the meat to the slaughterhouse, because we only have transit sheds at the airport," stated Dennis Muraya, Director Konza Clearing Agency.

This plane, which departed JKIA at 1:00 pm on Wednesday, was the first to fly out with the consignment since Saturday, and even so, it cost the suppliers an arm and a leg.

"The aircraft that has just left a few minutes ago, has carried 60 tonnes of meat, and it is the only one we have had since Saturday. We need the government to intervene," stated Dennis Muraya, Director Konza Clearing Agency.

"You'll find the freight cost either doubling or tripling because of the situation," stated Dennis Muraya, Director Konza Clearing Agency.

The war is also likely to impact the country's tea industry negatively. The East African Tea Traders Association has raised a red flag over the effect of the war, which risks having the country lose a quarter of its market in the Middle East.

"We will lose 20-25 per cent of our tea market in the Middle East if the war continues," stated George Ouna, Director EATTA.

This comes as Kenya Airways announced repatriation flights from Nairobi to Dubai starting Wednesday and Dubai to Nairobi from Thursday, after the Dubai International Airport allowed the resumption of limited operations at the airport.

The communication comes as the US and Israel stepped up their attacks on Iran, as drones continue to bombard different locations in the Gulf countries.