• The vast majority of surveyed firms were still operating in May, but most of them at reduced capacity.
• The number of temporary or permanent closures is likely to be higher than reported here.
• Many firms had to pay higher prices for raw materials and for procuring these materials.
• Most firms adjusted their production patterns in response to the situation, in particular by reducing production volumes of some products.
• Companies for the most part held on to their employees, but at times had to reduce salaries. Many increased shifts to ensure social distancing.
• Around 70% of companies were impacted by foreign governments’ measures, in particular through delays and additional requirements at the border as well as drops in exports.
• To reduce the economic impact of Covid-19 containment measures, companies most frequently called for practical and business-survival interventions, such as measures to facilitate the movement of goods, tax relief and support in the area of health and safety.
publication
PARI Policy Brief No. 26: Emerging Impacts of COVID–19 on the Kenyan Food and Beverage Manufacturing Sector
This brief presents the result of a rapid assessment on how the containment measures have affected the performance of the Kenyan food and beverage manufacturing industry and what measure companies need to support them during the pandemic.
