Sharp rise in meat prices called ‘perfect storm’

Due to the shortage of cattle, beef prices increased from Sh12,000 to Sh16,000 per kilogram and goat meat prices from Sh16,000 to Sh20,000. Several areas have been affected, including Mbale, Soroti, Tororo, Budaka, Butalekha, Namutumba and others, putting strain on family budgets. David Lokoris, a trader in the Amudat area, predicted prices would more than double in the coming months due to a shortage of livestock. “Meat prices have been rising over the past two months to the detriment of local residents,” Mr Lokoris said.

Others attribute high meat prices to ongoing security operations against some traders involved in the theft and sale of livestock. The crackdown on the illegal livestock trade in the eastern region has seen security forces step up operations and some traders jailed. The operation follows growing reports of livestock theft, disrupting the local meat supply chain and causing meat prices to soar. We found that stolen cattle, often sold at discounted prices on the black market, had previously harmed local farmers and traders, allowing illegal traders to flourish. As a result of ongoing law enforcement efforts, the availability of affordable meat has plummeted, causing prices to rise significantly in local markets.

Farmers and legal livestock traders have expressed mixed feelings about the initiative to protect their livestock and restore fair market conditions; they are also (1) concerned about the long-term impact on supply. Some fear the arrests could lead to meat shortages if demand for meat continues to outstrip supply.

Residents of the region have repeatedly expressed concern about the rapid rise in meat prices. Our research also showed that in the Karamoja sub-region, farm gate prices for cows have increased by anywhere from Sh500,000 to Sh700,000. For example, a cow that once cost Sh700,000 is now worth Sh1.2 million. In Mbale town, meat prices range from Sh15,000 to Sh16,000, depending on location. This is from Sh12,000. In Tororo town, a kilo of meat now costs Sh16,000 instead of Sh13,000.

In Butaleja and Soroti, a kilogram of meat costs Sh15,000 and Sh16,000 respectively. Mr Tom Wafula, a meat trader from Tororo town, said transporting livestock was a huge cost. This is in addition to other charges. He said livestock traders in the region were facing increasing financial pressure due to rising transport costs.

“This has contributed to rising meat prices throughout the region. The cost of transporting livestock from rural areas to urban markets has increased due to increase in fuel prices, road maintenance charges and taxes levied at various checkpoints.” Mr Wafula said that in a few months, if nothing changes, many people will not be able to afford meat. Traders, he added, face challenges in meeting operating costs such as market fees, animal feed and veterinary care.

Other factors at play Other traders blame the rise in prices on exorbitant costs of transporting animals and the recent outbreak of foot-and-mouth disease (foot-and-mouth disease) in livestock corridor areas. The corridor runs from Kotido and Moroto in the northeast through central Uganda to the southwest of Mubede, Rakai, Mbarara and Masaka. Economists and industry analysts confirm that today’s higher meat prices are a direct result of tight supplies due to labor shortages, higher raw material, labor and fuel costs, and strong consumer demand.

Mr Simon Opolot, a cattle trader, said the decline in cattle numbers in the Karamoja corridor has since caused shortages, leading to higher meat prices. “There is a shortage of animals in the Karamoja sub-region, but there are many consumers. We had to increase the price,” Mr Opolot told Saturday Monitor. Mr. Joseph Pulkol, another trader, said that some middlemen intercepted the transaction.

“These middlemen dictate the price and we also have to buy the cattle at a high price and we also charge a high price to make some profit on top.” Dr. Michael Casiro, Amudat district veterinarian, said cattle prices in the livestock corridors have increased due to several factors.

“The rise in meat prices starts with the farmgate prices of animals in the Karamoja sub-region, which are supplied to other parts of eastern Uganda. The price of cattle has increased (from Sh1 million to Sh1.5 million),” Dr Casiro said. “People are not selling their animals in the Karamoja sub-region because there is water there at the moment. They are not forced to sell their livestock. During droughts people sell their livestock cheap, but now we have enough water.”

According to Dr. Casiro, there is a lot of rainfall in some areas. Mr. Pulkol said they incur huge expenses for transporting livestock besides other expenses. “The roads leading to most of the villages in Karamoja where we bring animals are poor. The owners of the cars we hire charge a lot of money, including other risks on the road, forcing us to increase the price of meat,” he said.

Livestock theft Regional security officials attribute rising prices to livestock theft. For example, on August 17, joint security forces conducted an intelligence operation in Mbale town to apprehend suspected cattle thefts and criminal gangs, where they recovered the stolen animals. The operation follows growing public outcry over livestock theft. Major Isaac Oware, spokesman for the 3rd Division of the Uganda People’s Defense Forces (UPDF), said some arrests were made after some animals and items were confiscated. He said about five suspects were arrested and eight cows were recovered during the operation. Three cars and two motorcycles were also confiscated.

Mr Rogers Taitika, spokesman for the Elgon Regional Police, said they had closed several abattoirs in the town due to cattle theft. According to him, 75 people, including traders, have been arrested so far on suspicion of cattle theft in the region. “They use cars and motorcycles to transport stolen animals at night. We are still tracking down 23 stolen cattle,” Mr Taitika said. Monitor.

According to the Police Crime Report 2023, the Force received 8,442 cases of cattle theft across the country during the period under review, compared to 7,975 cases recorded in 2022.

This represents a 5.9 percent increase in livestock thefts. The report states that the Ruisi sub-region recorded the highest number of livestock thefts in 2023 (946 cases), followed by Kyoga East with 612 cases, Kyoga North with 556 cases and Albertina with 575 cases, while the Elgon region recorded 278 cases, and Mount Moroto had 238 cases. Mr Isma Mafabi, a trader from Sironko district, said that as security operations continue, the hope is to stabilize the market and protect the livelihoods of honest farmers while ensuring that consumers can access meat at reasonable prices. prices.

According to the Ministry of Agriculture, Livestock and Fisheries (Maaif), the country’s livestock production accounts for between seven and nine percent of total GDP. According to the ministry, Uganda’s cattle population increased from 5.1 million to 6.1 million between 1991 and 2000, with the cattle population standing at 11.4 million in 2008. Mr James Kutosi, Mbale City Senior Public Relations Officer, attributed the rise in meat prices to cow prices coupled with transport costs.

“Livestock markets also have market fees. Remember that most of the cows slaughtered in the city come from outside the city.”

Dr Philip Wakimwere, Mbale District veterinarian, attributed the rise in prices to the economic situation. He said the recent outbreak of foot and mouth disease in Sironko, Manafwa, Namisindwa and Manafwa districts had partly affected the livestock trade. “We source cattle from the Karamoja sub-region and the cost of transportation increases. This has prompted traders to also increase meat prices,” Dr Wakimwere said. He also attributed this growth to urbanization and the region’s high population.

“Beef is in high demand because there are a lot of people living in the city. Meat consumption is high, but our livestock numbers are small.”

He said there are only three cattle markets in Bugisu sub-region including Bukigai and Bushika in Bududa district and Kimwanga in Mbale district. This, he added, forced traders to source animals from Karamoja.

Mr Rogers Taitika, Elgon Regional Police spokesperson, urged community members to report any suspicious activity related to livestock trading, stressing the importance of collective action in combating livestock theft.