Drought to impact production at Kenya Breweries
Kenya breweries has projected a negative outlook for supply of its raw materials due to effects of drought.
The brewer says the delayed rains will affect over 45,000 farmers who supply it with barley and sorghum.
The company however says it is working on strategies to cushion itself.
“We are concerned that the rains haven’t arrived in time and more concerned that there is shock that they may also be below minimal,” said Lawrence Maina- KBL General Manager at East Africa Maltings.
“The big issue could be on the barley sector which is very unique on high attitude and heavy rains and requires a higher rainfall pattern,”
KBL also says that taxes continue to be a huge hindrance to its efforts to channel out affordable and quality beverages.
This it adds could see most of its customers slide back to illicit brews
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