Tunga Nutrition (K) expands capacity to 45000MT as cost & policy reforms take centre stage at plant launch

KENYA – Tunga Nutrition (k), a joint venture of Unga Limited and Skretting, officially launched its expanded aquaculture feed production line in Nairobi, increasing installed capacity to 45,000 metric tons per year and positioning the plant as one of the largest dedicated aqua feed operations in East Africa.

Speaking at the launch on 18 February 2026, Harrison Juma, General Manager of Tunga Nutrition, noted that when the plant first began operations in 2017, it produced 7,000 metric tonnes annually.

He noted that the scale-up is expected to improve operational efficiency and strengthen supply reliability for Kenya’s growing aquaculture sector.

The Cabinet Secretary for Mining, Blue Economy and Maritime Affairs, Ali Hassan Joho, in attendance, described aquaculture as a “sure bet” for investment, citing the sector’s rapid growth and vast untapped potential and called for deeper collaboration between the public and private sectors to increase fish production, reduce reliance on imports, and create jobs.

The issue of production costs was a central theme throughout the discussions, with stakeholders across government, industry, and farming communities stressing the need for cost‑effective solutions to make fish more affordable and competitive both locally and internationally.

In a moderated panel session, the CS directly engaged industry leaders on sector bottlenecks. He asked Juma to outline the key challenges facing producers and specify areas where government intervention could make a difference.

He pointed out that high feed costs, driven by imported raw materials such as soybean meal and yellow maize, freight charges, duties, and VAT, significantly increase production costs.

“Fish feed production relies heavily on imported soybean meal and yellow maize, and freight charges together with import duties significantly increase our input costs,” said Juma, adding that high electricity consumption and fish feed remain subject to VAT, unlike flour for human consumption, further raising our production costs.

This was reflected when a farmer participating in the session emphasised that feed affordability remains the single most critical determinant of profitability at the farm level, particularly as wild fish stocks stagnate and cage farming expands.

Among the policy proposals discussed were zero-rating VAT on fish feeds and making the duty-free importation of yellow maize permanent to stabilise input costs.

The ministry signalled willingness to engage the Cabinet on the proposals, requesting clear data to demonstrate how tax and cost adjustments would lower feed prices for farmers.

The discussion reflects broader national ambitions to expand aquaculture output. Despite the country’s significant blue economy potential, annual fish consumption remains below 5 kg per capita, underscoring the gap between current production and future opportunities.

Feeding the future 

Rob Binnenkamp, Managing Director Middle East and Africa at Nutreco, framed the investment as part of a longer-term commitment to scaling aquaculture production across the continent.

“We are not just investing in steel. We are investing in people, communities and sustainable growth by 2050, making aquaculture critical to meeting rising protein demand,” he said, noting that Africa will account for more than half of the global population 

Binnenkamp also highlighted that food systems contribute roughly one-third of global greenhouse gas emissions, with aquaculture responsible for about 0.5% and growing rapidly. Juma pointed to their biomass boiler initiative as an example of industry-led action to reduce emissions.

Tunga Nutrition aims to become Africa’s leading feed-sector solution provider by delivering greater value to customers through three pillars: customer intimacy, sustainability, and innovation with impact, rather than focusing solely on volume.

The event brought together senior government officials, international partners from Norway and the Netherlands, industry stakeholders, including Unga Limited and Skretting, and fish farmers across the value chain, demonstrating global collaboration in advancing Africa’s aquaculture sector.

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