KFC’s plans to expand into African countries are facing one big hurdle: chickens. Drew Hinshaw writes:

• Chicken farmers in Ghana don’t meet KFC’s professional standards and so chains are forced to import their chicken from other countries.
• However Ghana’s currency is depreciating which makes imports more expensive, menu prices higher, and sales lower.
• To cut costs KFCs in Ghana are encouraging patrons to use shito – a local hot sauce – instead of more expensive imported ketchup.
• Nigeria doesn’t allow the import of chickens. This has driven Nigerian KFCs to add fish to the menu.
• Kenya doesn’t allow chicken imports either. There is just one local supplier who meets the chain’s professional standards and they charge a large premium for it.

To read more about the struggles for KFC and what chain owners have to say about it, as well as why developing a professional domestic chicken industry will be difficult for African countries click here.

Source: The Wall Street Journal

Via: Marginal Revolution