Rapid population and economic growth, increased health benefits of aquatic food, and changes in lifestyles and preferences as a result of rapid urbanization and globalization are all contributing to the rapid growth of aquaculture production in Kenya. Despite significant investment efforts from the national and devolved governments as well as donors and international organizations, smallholder aquaculture production is yet to result in a significant increase in incomes and improved food and nutrition security. We conducted a scoping review to investigate the roles of multilateral development organizations, international financial institutions, and public and private investments in Kenya’s aquaculture subsector. We draw on lessons learned from previous projects implemented at the national, county, and farm levels to make recommendations for sustainable aquaculture intensification in Kenya. To unlock Kenya’s aquaculture potential and improve its food and nutrition status, deliberate efforts must be made to create a conducive environment for public and private investment in the industry. First, there is a need to coordinate and clearly articulate the roles and responsibilities among devolved and national governments, donors, and financial institutions through public-private partnerships to ensure optimal allocation of financial, human, and infrastructure resources. Second, more collaborative research should be devoted to the design and construction of climate smart culture systems, developing new species to guarantee supply of high-quality products; developing and scaling low-cost and highly nutritious fish feeds based on novel ingredients; and enhancing resilient livelihoods through innovative aquaculture practices and market linkages to create employment opportunities for youth and women. Finally, the national and devolved governments should create an enabling policy environment through tax incentives and regulatory reforms to combat climate change, protect nature and biodiversity, sustain livelihoods, and mainstream food and nutrition initiatives into the design and implementation of future aquaculture projects.
Fish cage culture has rapidly grown throughout Lake Victoria's shores, with Nile tilapia (Oreochromis niloticus) being the primarily cultured species. However, there is inadequate information on its economic viability. The study investigated the economic feasibility of fish cage farming system in Lake Victoria, Kenya, by evaluating the relationship between cost of inputs and revenue from fish sales and analysing the overall profitability of the fish cage culture in the lake. Systematic sampling was employed to select 200 cage farmers for the study. Structured questionnaire was used for data collection. Data was analysed using descriptive statistics, multiple regression analysis, gross margin analysis, net farm income and profitability ratios. The average quantity of fish produced in the production cycle was 11,971.53 kg from which an average of 9020.77 kg was sold at an average selling price of Kenyan Shillings (KSH) 281.36 (USD 2.60) per kg. The multiple regression results revealed that the cost of feeds (coefficient of −0.603) and fish seed (coefficient of −0.387) had a significant influence on returns from fish cage culture business at p < 0.01 and p < 0.05, respectively. The costs of feeds and fish seed were significant components of the total production cost, accounting for 60.25% and 33.50%, respectively. Fish cage production was profitable, with an average gross margin of KSH 1146,727.68 (USD 10,545.59) and net farm income of KSH 1020,518.78 (USD 9384.94) in a production cycle, with a benefit cost ratio of 1.43, an expense structure ratio of 0.06, a gross revenue ratio of 0.70 and a return on investment of 0.43. The study recommends formulation of friendly policies, legislations, operating guidelines and an enabling environment for feed and fish seed producers by policy makers to enhance fish feed and seed production and subsequently reduce prices of feed and seed. Through this, economic viability of fish cage culture will be enhanced.
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