Botswana retailer Choppies is expanding to Ongata Rongai, taking over the space previously occupied by Uchumi Supermarkets.

Choppies will be joining Tuskys, Tumaini and Cleanshelf in the race to capture the populous Rongai as part of its Kenya expansion plan.

In its second half for 2017 results, the retailer indicated that it would invest Sh237 million ($2.27 million) on new Kenyan stores.

Uchumi’s branch in the town was shut down following a Sh21 million ($207,990) default on rent.

Choppies also opened a new store in at South Field Mall in Embakasi, Nairobi and plans another in Kiambu Mall, on the outskirts of the capital city, taking up space that was previously meant for Nakumatt.

The retailer has also put up ‘coming soon’ signs in Nanyuki as it eyes the space that hosted Nakumatt, before the latter was evicted from Cedar Mall. 

Choppies’ move to replace Uchumi replicates similar actions by Naivas, Carrefour and Tuskys who have stepped in to occupy spaces from which the financially-strapped retail chains Nakumatt and Uchumi have been kicked out.

The spirited entry into Kenya by multinational chain stores is stiffening competition, pitting new players against the local family-owned retailers.

The South Africa and Botswana-Choppies in March last year said it would spend $2.5 million (about Sh250 million) in refurbishing the eight branches of Ukwala Supermarkets, which it took over in December 2016.

It currently has 12 stores in Kenya.

One time leader Nakumatt, now in administration, and cash-strapped Uchumi, have shut several of their branches in Nairobi while Tusky’s, with 63 stores, recently shut its Sheikh Karume branch in Nairobi.

Naivas has 45 outlets.

Choppies managed to enter the Kenyan market through acquisition of Ukwala Supermarkets in 2016 after a Sh946 million ($9.4m) claim by the Kenya Revenue Authority (KRA) had earlier halted the deal.

 

Credit: Nation Media Group

For 10,000 years, the bacterium Mycoplasma mycoides has infected goats, cows and other livestock, annihilating entire herds in days.

In sub-Saharan Africa, the disease, contagious bovine pleuropneumonia CBPP or “lung plague,” is still difficult to control. It causes more than US$60 million in annual losses to cattle owners and affects the livelihoods of 24 million cattle producers.

Although infected animals can be treated with antibiotics, they can be hard to come by. They often come from illegal sources and are of poor quality, resulting in ineffective treatments and antibiotic resistance.

The quickest and most effective way to control lung plague is to cull the infected animals. But there is another way: vaccination.

Working with researchers in Kenya, we have developed a new vaccine to help fight the spread of Mycoplasma mycoides mycoides (Mmm), an especially lethal subspecies of the bacterium that causes disease in cattle.

Unstable solution

Lung plague was eradicated in North America in the 1890s after an eight-year campaign of quarantine, slaughter and disinfection.

Botswana successfully adopted this approach, but it will not work for other sub-Saharan countries because of the high costs of replacing cattle that are not insured.

To date, there is only one vaccine on the market to control lung plague. It is an attenuated vaccine, which means it is created from a live version of Mmm that has been altered so that it becomes harmless. The live-attenuated Mmm vaccine is injected into the tail of cattle and, after a few weeks, the animal begins to produce antibodies against the bacteria.

Although this vaccine works well, it does have drawbacks. It deteriorates quickly unless it is kept on ice — a problem in Africa where temperatures often run high — and, in some cases, vaccinated animals develop inflammation and ulcers where the vaccine is injected or even lose their tails due to extreme immune reactions.

New approach

Looking for a better solution, our team applied for and received funding from the International Development Research Centre and Global Affairs Canada through the Canadian International Food Security Research Fund to develop a new vaccine for lung plague.

Vaccines are made up of two parts: an antigen, a substance capable of inducing an immune response, and an adjuvant, a compound that improves the efficacy of the vaccine.

The new lung plague vaccine uses protein antigens from a variety of strains of Mmm found in Kenya which makes the new vaccine safer, easy to manufacture and stable at room temperature.

Our team identified these protein antigens using “reverse vaccinology.”

Reverse vaccinology uses computer programs to analyze the DNA of the bacteria and point out possible antigens, the ones most likely to cause the cattle to produce an immune response. The selected proteins are then manufactured, purified, mixed with the adjuvant and tested.

Increasingly, reverse vaccinology is being used to develop vaccines for diseases when traditional vaccine development has failed. This approach has been used for a human Meningococcal vaccine now on the market.

Better protection

Out of the 66 Mmm proteins we identified, four protected cattle against lung plague. We used them to create a new vaccine that has demonstrated significant potential to be more stable and offer better protection than the current live-attenuated vaccine.

This new vaccine, which is cheaper to produce and more stable at room temperature, may solve many of the challenges faced with the current vaccine and may also protect against multiple bacterial strains. It has been licensed for production by a vaccine manufacturer in Kenya and is currently under production for testing in field trials using large numbers of cattle.

The reverse vaccinology approach could work to develop vaccines for other important livestock diseases, including Johne’s disease and bovine tuberculosis, as well as infections with Histophilus somni, Escherichia coli and Mycoplasma bovis (chronic pneumonia and polyarthritis syndrome).

CBPP has had negative impacts on livestock production in Africa, drastically reducing the contribution of the livestock industry to Africa’s gross domestic product.

This project, which benefits from a partnership between Kenya and Canada, used advanced vaccine development technologies to achieve the ultimate deliverable — a novel vaccine that has the potential to improve food security and mitigate millions of dollars in livestock losses.

This Mmm vaccine was developed in collaboration with Hezron Wesonga of the Kenya Agriculture Livestock Research Organisation (KALRO), Jane Wachira of the Kenya Veterinary Vaccine Production Institute (KEVEPAVI), Jan Naessens of the International Livestock Research Institute (ILRI), Andrew A. Potter, Volker Gerdts and Emil Berberov of the Vaccine and Infectious Disease Organization – International Vaccine Centre (VIDO-InterVac) at the University of Saskatchewan.The Conversation

 

Jose Perez-Casal, Research Scientist - Program Manager, University of Saskatchewan

This article is republished from The Conversation under a Creative Commons license. Read the original article.

More Kenyans believe that China constitutes the biggest threat to the country’s economic and political development than the United States of America, a survey shows.
 
The survey by Ipsos Synovate released on Wednesday revealed that 26 per cent of Kenyans see the Asian country as a threat to the development of Kenya, more than double the perception towards the US which ranks at 12 per cent up.
 
GRAFT
 
According to the survey conducted between July 25 and August 2, the unfavourable perception of China comes in the shape of threats posed by its cheap goods, fear of fostering corruption and leading to job losses.
 
A total of 38 per cent of Kenyans think that the continued relationship between Kenya and China will lead to job losses. This is only 11 percent in the relationship between Kenya and USA.
 
Another 25 per cent think that China will flood the Kenyan market with cheap goods compared to 18 percent perception of the US.
 
Perception of Kenyans towards China has taken a nosedive since March this year dropping from 34 per cent at that time while US’s has been on the rise since then from 26 percent to the current 35 per cent.
 
The perception is, however, skewed politically with more National Super Alliance (Nasa) supporters thinking that Kenya’s bilateral relationship with China is a bigger threat at 33 percent compared to 10 percent with USA.
 
For Jubilee supporters, only 23 per cent hold similar views on Kenya’s relationship with China but more on US compared to Nasa supporters at 16 percent.
 
On the flipside, approval for China comes because of its infrastructure projects in the country at 86 per cent compared to only 38 per cent for US. For US, its loan and grants to Kenya wins it an approval of 49 per cent compared to a paltry 11 per cent for China.
 
This is even as 35 per cent Kenyans say that USA is more important for Kenya to have relations with compared to only 25 per cent for China.
 
However, more Kenyans think that the country’s relationship with US will see the world superpower undermine the Kenyan culture, her elections and encourage terrorism at 14, 12 and 9 per cent respectively. This the Chinese are seen to have no effect on with 3, 0 and 2 per cent perception in that order.
 
More Nasa supporters at 49 per cent compared to Jubilee supporters’ 28 percent see bilateral relations with the US as critical.
 
However, more Jubilee supporters at 30 per cent to 19 per cent for their Nasa counterparts approve of relationship with China.
 
A total of 2, 016 Kenyans were interviewed in 46 counties using face to face interview at the household level with a margin of +/-2.16 per cent and a 95 per cent confidence level.
 
The survey also came before four important events in the country’s foreign relation development.
 
It was before Foreign Affairs Cabinet Secretary Monica Juma held talks with US counterparts in Washington DC on August 22 ahead President Uhuru Kenyatta’s visit five days later.
 
Five days later President Kenyatta held talks with US President Donald Trump and also met US business leaders.
 
President Kenyatta then welcomes British Prime Minister Theresa May three days later in Kenya before flying to China the next day for a major African-Chinese summit on economic partnership.

Kenyan President Uhuru Kenyatta’s meeting with his US counterpart Donald Trump at the White House carries symbolic as well as real value.

The two leaders have met once before – on the sidelines of the 2017 G7 meeting in Italy. But this is the first official visit to the White House since Trump’s election and since Kenyatta’s highly controversial 2017 re-election.

So why the visit, and why now?

The White House has cast it as an opportunity to deepen the strategic relationship between the two countries, and to advance mutual interests in trade, security and regional leadership by way of reaffirming

Kenya’s position as a corner stone of peace and stability in Africa.

For Kenyatta, it’s an opportunity to reset Kenya’s position as a leading regional actor and Africa’s “ambassador”.

From a strategic perspective, Kenya has been a crucial player in the war on terror given its frontier status with Somalia. It has been a central player in the UN African Union Mission to Somalia force that’s seeking defeat the Al-Shabaab terror group.

Kenya has suffered retaliatory action as a result of its role. Twenty years ago it was one of the first countries in Africa to bear the brunt of Al-Qaeda with a lethal terror attack in Nairobi. This placed Kenya firmly in the position of a strategic player, ensuring the success of the war on terror in East and Central Africa for which the US has strategic interests.

So Kenyatta’s visit will seek to consolidate continuing US military support. This will be through various channels, among them the counter terrorism partnership fund and the combating terrorism fellowship programme. He will also want a commitment to the US’s continued military at Manda Bay and Camp Simba, a Kenya naval base for anti-terrorism operations.

Kenyatta has recently played a lead role as regional broker by hosting a number of peace initiatives in the South Sudan peace process. Despite US reservations, the most recent peace accord appears to be holding, with Kenya taking some credit for the tentative success.

The US will seek to ensure that Kenya continues to play a constructive leadership role and a guarantor of the peace process in South Sudan given its tremendous leverage on that country’s leadership.

Other pressing issues will include trade and foreign direct investment. Here Kenyatta will have to tread carefully given Kenya’s increasingly close ties with China.

And Kenyatta will have his work cut out trying to navigate Trump’s world. How he manages to gain meaningful compromise from an unpredictable and beleaguered host will be keenly watched both at home and far beyond.

Banking on trade

In many ways US-Kenya relations is in uncharted territory. And given Trump’s penchant for bilateralism, Kenyatta will hope to master the art of the deal by minimising the negative impact of “America first” agenda on Kenya-US trade relations.

During Barack Obama’s presidency, imports from Kenya more than doubled . In 2015, 12.3% of US AFRICA FDI went to Kenya. But Trump’s “America first” stance has led to a review of Africa partnerships as well as a renegotiation of bilateral trade agreements.

Amid this policy uncertainty, Kenyatta will want to discuss how to boost trade relations to augment Kenya’s domestic economy given the very broad economic agenda he has set himself to transform the country. Kenya’s economy had suffered from electoral volatility and a slowdown in foreign direct investment, particularly from the US. Kenyatta will be keen to explore how to jump start this with his US counterpart in addition to ensuring the continued robustness of the African Growth and Opportunity Act (AGOA) from which Kenya has greatly benefited.

The Kenyan president can point to the fact that it remains a destination of choice for many US corporations that have established themselves in the domestic economy. These include Coca-Cola, General Electric, Google and IBM.

Kenya-China relations

Kenya’s relationship with China has been growing in leaps and bounds. This is clear from the rise in foreign direct investment flows from China over the past 10 years.

In addition, China has firmly developed a substantial economic and trade strategic relationship with Kenya – from manufacturing to infrastructure development. This hasn’t gone unnoticed by the US. The wide gauge railway project, among many others, has established Beijing as an indispensable developmental partner.

To reflect this importance, one of Kenyatta’s first foreign trips was to Beijing.

This growing closeness has caused concern in Washington. The US is keen to retain its traditional sphere of influence and is often wary of other players, particularly China, chipping away at it.

The Conversation

With the increasing trade war with China, the US will seek reassurance that its interests in the region will not be compromised by Beijing’s increasing aggressive overtures in Kenya as well as in the region more broadly.

 

David E Kiwuwa, Associate Professor of International Studies, University of Nottingham

This article was originally published on The Conversation. Read the original article.

Theresa May will lead an ambitious trip to Africa this week on her first visit to the continent as Prime Minister.
 
She’ll be the first British Prime Minister to visit Sub-Saharan Africa since 2013, and the first to go to Kenya for over 30 years.
 
This visit comes at a time of enormous change across Africa with a unique opportunity, as the UK moves towards Brexit, for a truly Global Britain to invest in and work alongside African nations, with mutual benefits.
 
The Prime Minister’s central message will be focused on a renewed partnership between the UK and Africa, which will seek to maximise shared opportunities and tackle common challenges in a continent that is growing at a rapid pace – from the Sahara to South Africa.
 
She will use a speech on the opening day of the visit in Cape Town to set out how we can build this partnership side by side with Africa, particularly by bringing the transformative power of private sector trade and investment from the UK to a continent that is home to 16% of the world’s people but just 3% of FDI and 3% of global goods trade.
 
As Africa seeks to meet the needs of its growing population the visit will also emphasise that it is in the world’s interest to help secure African stability, jobs and growth because conflict, poor work prospects and economic instability will continue to encourage migration and dangerous journeys to Europe.
 
Because nations cannot prosper without security, the Prime Minister will also use the visit to announce further support to tackle instability across the region.
 
Prime Minister Theresa May said:
 
Africa stands right on the cusp of playing a transformative role in the global economy, and as longstanding partners this trip is a unique opportunity at a unique time for the UK to set out our ambition to work even closer together.
 
A more prosperous, growing and trading Africa is in all of our interests and its incredible potential will only be realised through a concerted partnership between governments, global institutions and business.
 
As we prepare to leave the European Union, now is the time for the UK to deepen and strengthen its global partnerships. This week I am looking forward to discussing how we can do that alongside Africa to help deliver important investment and jobs as well as continue to work together to maintain stability and security.
 
 
I am proud to be leading this ambitious trip to Africa and to become the first UK Prime Minister in over 30 years to visit Kenya.
 
The Prime Minister will be joined by a business delegation made up of 29 representatives from UK business – half of which are SMEs – from across all regions of the UK and its devolved administrations. The delegation shows the breadth and depth of British expertise in technology, infrastructure, and financial and professional services.
 
Delegates include:
 
the London Stock Exchange
Cardiff-based cooling technology firm Sure Chill
solar tech provider Northumbria Energy from North Tyneside
London-based start-up Farm.ink who have created a knowledge-sharing mobile platform for farmers
Northern Irish agri-tech leader Devenish Nutrition
the world-renowned Scotch Whisky Association and Midlands manufacturing giant JCB
Also travelling are Trade Minister George Hollingbery and Minister for Africa Harriett Baldwin. Secretary of State for Wales Alun Cairns will join the visit in South Africa to support the Welsh companies in the business delegation, while the Lord Mayor of London Charles Bowman is also accompanying the Prime Minister.
 
The Prime Minister will begin her trip in Cape Town in South Africa where she’ll see President Cyril Ramaphosa and meet young people and business leaders.
 
While in South Africa the Prime Minister will present the Mendi bell to President Ramaphosa in a ceremony at Cape Town’s presidential office the Tuynhuys – over a century after it was lost in a shipwreck.
 
Over 600 troops, the majority black South Africans, died when the Mendi tragically sank in the English Channel in 1917, on their way to join the Allied forces on the Western Front. It was the worst maritime disaster in South Africa’s history, and the Mendi has become a symbol of the country’s First World War remembrance.
 
In Nigeria the Prime Minister will meet President Muhammadu Buhari in Abuja and spend time in Lagos meeting victims of modern slavery – a cause Theresa May has worked passionately to tackle.
 
In Nairobi she will meet President Uhuru Kenyatta and see British soldiers training troops from Kenya and other African countries in the techniques needed to identify and destroy improvised explosive devices before they go to fight Al-Shabaab in Somalia.
 
She will also commit to helping support the next generation of energetic, ambitious young Kenyans as they seek to build a more prosperous country in the years ahead.
 
 
Source: PMNEWSNIGERIA
Proposed legislation opens electricity retail to competition and Geothermal producers to pay royalties of up to 5% of sales
 
Lawmakers in East Africa’s biggest economy approved a new law that could abolish Kenya Power Ltd.’s monopoly on grid-electricity distribution.
 
With the proposed new legislation, which still needs presidential approval, the Energy Regulatory Commission will license new companies to sell power and take away Kenya Power’s control over the dispatch center, which determines what energy sources will feed the national grid.
 
The Energy Bill also introduces royalties from geothermal generation, parliamentary majority leader Aden Duale said by phone from the capital, Nairobi. Africa’s biggest geothermal electricity producer will expect between 1 percent and 2.5 percent of revenue during the first decade of a geothermal license being issued.
 
The levy will then climb to between 2 percent and 5 percent, with a fifth of the proceeds remitted to regional governments, 5 percent to the local community, and the rest to the national government.
 
 
Source: Bloomberg News
An offshore company is among the first to reap hundreds of millions of shillings from the Kenyan oil that was discovered six years ago.
 
Primefuels Holdings Ltd, based in the highly-secretive Guernsey Channel Islands, has leased the equipment for trucking of crude from the Turkana oil fields. Its local subsidiary, Primefuels Kenya Ltd, will grab the biggest chunk of the Sh1.5 billion budgeted to pay transporters who include smaller local firms.
 
Company records indicate the offshore firm owns all except one of the 750,000 shares in Primefuels Kenya. The single share is held by Hanif Amirali Somji.
 
Flagged off
 
President flagged off four of the 110 insulated containers to be supplied by the company for the journey to the coastal city of Mombasa for storage.
 
Nairobi-based logistics firm Multiple Hauliers, owned by billionaire Rajinder Singh Baryan, and Oilfield Movers associated with former National Oil boss Nyaga Mwendia, are the hauliers. Efforts to reach Mr Nyaga were fruitless as his phone went unanswered.
 
Founded as a Kenyan firm by Asif Abdulla in 1996, the firm now has its operations in five countries in the region and possibly got new directors before its ownership was taken offshore. Registering firms in secretive jurisdictions including Guernsey Channel Islands provides a layer of protection for the real owners, since company records are not readily available.
 
Sunil Edupuganti, the operations manager, told The Standard of his excitement about the actual start of the crude oil transportation. The contract was awarded a year ago.
 
“It is lucrative for us as a firm and we are excited to be part of the deal,” he said in a telephone interview yesterday.
 
He added that the contract runs for three years, translating to assured business as Kenya spares no cent in its push to join the exclusive club of petroleum-producing countries. The President admitted in Turkana that crude oil trucking under the Early Oil Pilot Scheme would be a money-burning venture.
 
Except suppliers to the oil exploration firm Tullow, the three logistics companies are drawing profits from the actual crude ahead of the country, which would receive the first shilling some time in 2018 at the earliest. This is because moving the oil by road would take at least eight months before there are sufficient stockpiles in Mombasa for export.
 
The Ministry of Energy has however defended the programme, saying it is a worthy experiment to gauge how the market will price Kenyan oil. Each of the insulated containers has the capacity to carry 150 barrels, which is equivalent to about 24,000 litres.
 
Storage tanks
 
Initial projections indicate 2,000 barrels will be trucked from the oil fields to the storage tanks daily, before doubling to full capacity over time. Mr Edupuganti said he was awaiting approving from Tullow and the Government before making orders for 50 additional transtainers – bringing the total to 110.
 
But with just as many trucks on the road, each taking at least three days to cover the 1,100km, achieving the 2,000 barrels a day is already a tall order. Struggling parastatal Kenya Railways Corporation had hoped to land a portion of the lucrative business by transporting the oil from Eldoret to Mombasa on the old railway line but failed to convince the State.
 
Economist David Ndii claimed in a social media post yesterday that the Early Oil Pilot Scheme could have offered a lifeline for the old railway to survive (competition from) the SGR
 
Credit: StandardMedia.co.ke

The Airports Council International has recognised JKIA for its excellence in customer service. It was named the best-improved airport in Africa in the 2017 ACI Airport Service Quality Awards.

In January, Interior CS Fred Matiang’i made a surprise visit to the airport and found many work stations unmanned. He ordered mandatory training of all JKIA staff to improve service delivery. The CS also directed vetting of taxi drivers.

JKIA has been undergoing reorganisation and modernisation as it seeks to claim its position as a regional hub. In January, the JKIA Service Charter was signed promising to provide consistent, professional and high

quality service. 

In 2015, President Uhuru Kenyatta launched Terminal 2, which cost Sh1.7 billion, to handle 2.5 million passengers annually. The terminal was projected to increase JKIA’s capacity to 7.5 million passengers a year. “Today’s recognition shows that the measures we have put in place to improve services are beginning to bear fruit.

The benefits of all agencies working as a team are clear to see. We still have a lot to do, but I believe we are on the right track,” Kenya Airports Authority CEO Jonny Andersen said. The ACI ASQ Survey as a benchmarking programme captures passengers’ experience at all airport passenger contact points.

Credit: Star Kenya

Kenya's newly sworn-in president has announced that all Africans will be able to obtain a visa on arrival at a port of entry as he seeks to improve continental ties.

President Uhuru Kenyatta spoke to a cheering crowd of tens of thousands at his inauguration, which ends months of political turmoil that included a nullified election and a repeat vote. A growing number of African nations are making moves toward easing travel restrictions for people across the continent.

Rwanda also recently joined the ranks of African countries that are easier to visit. From 01 January 2018, nationals of all countries will be able to get visas upon arrival without prior application. South Africans will have to pay $30 (R423.61 @R14.12/$) for a visa on arrival in Rwanda.

Most recently Angola and South Africa exempted each other’s ordinary passports from visa requirements.

From 1 December 2017, citizens from both countries travelling to each other's countries will be able to enter for a period of 90 days per year, provided that each visit does not exceed 30 days in total.

African countries that area visa-free for South Africans:
Benin, Botswana, Gabon, Kenya, Lesotho, Malawi, Mauritius, Mozambique, Namibia, Saint Helena, Senegal, Seychelles, Swaziland, Zambia and Zimbabwe.

African countries that require visa on arrival:

Cape Verde, Comores, Egypt, Ethiopia, Madagascar, Tanzania, Tongo, Tunisia, Rwanda and Uganda.

 

Imports from South Africa grew by $107 million (Sh11 billion) in the first eight months of the year that saw Africa’s most industrialised economy overtake the United States in sales to Kenya. 

South Africa sold goods worth $414 million (Sh42.7 billion) to Nairobi in the eight-month period, a 34 per cent growth from $307 million (Sh31.7 billion) in a similar period a year earlier. The faster growth in sales saw Pretoria displace the US to emerge sixth biggest seller of commodities to Kenya.

South Africa is the most industrialised and diverse economy in the continent and is the top seller to Kenya among African countries. It sells to Nairobi goods such as wines and other alcoholic drinks, cars as well as spare parts, oil lubricants and machinery.

Imports from the US grew to Sh40.2 billion in the eight-month window, from $331 million (Sh34.2 billion), slipping one position behind South Africa on Nairobi’s import table, data from Kenya National Bureau of Statistics (KNBS) shows.

Paltry

But Kenya’s exports to South Africa remain paltry, at less than $48 million (Sh5 billion) in the period with the country not featuring among the top 11 buyers of goods from Nairobi, the KNBS data shows. South African companies with operations in Kenya include MultiChoice, SABMiller, and Massmart (Game brand) while thousands of Kenyans are frequent travellers to South Africa for business and leisure.

Kenya has long expressed discomfort with the many hurdles its citizens travelling to South Africa continue to face with little response from Pretoria.

Ideally, Kenya and South Africa are supposed to be dealing with each other under the principle of reciprocity — meaning that benefits extended by one country are mirrored by the other. The KNBS data shows China remains the biggest seller of goods to Nairobi, having shipped in Sh273 billion worth of goods in the year to August, ahead of second-placed India (Sh117 billion).

 

Kenyan Shilling1 KES = 0.00968028 USD  US Dollar1 USD = 103.303 KES
 
Credit: Daily Nation Kenya
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