Skip to main content

Corona Cuts Macadamia Gate Prices by 75 Percent

N

Nyakundi Report

Newsroom 2 min read

This archive report was first published on 19 June 2020.

Friday, June 19, 2020, marked a devastating day for macadamia farmers as the Coronavirus disease ravaged the industry, causing prices to plummet by 75 percent.

The price of macadamia nuts dropped from Sh200 last year to a mere Sh50, leaving farmers reeling from the financial blow.

Processors suspended buying of the commodity in April, citing uncertainty due to the shutdown of industries worldwide as governments imposed lockdowns to stop the spread of the virus.

Brokers are now mopping up the nuts at throwaway prices, leaving farmers at the mercy of these middlemen.

According to Daniel Murungi, a farmer in Tigania East, he had sold about 5,000 kilos since the season began in March at an average price of Sh60, earning Sh300,000. At the close of the season last June, the nuts were selling for between Sh170 and Sh200 a kilo, meaning they would have fetched at least Sh850,000.

‘This is a huge loss because we have spent a lot of money tending to the trees. We don’t have any other cash crop. We request the government to help us deal with this loss,’ Murungi said in a phone interview.

Meru Macadamia Farmers Association chairman Joshua Muriira echoed Murungi’s sentiments, stating that processors including Kenya Nut and Jungle Nut closed buying centres, fuelling the low prices.

‘This pandemic has taken us back five years when the prices were at Sh50 a kilo. The government should intervene before we lose hope in the crop that had since 2016 shown signs of recovery,’ Muriira said.

The current situation has prompted fresh calls for a review of section 43 of the Crops Act 2009, which banned the export of raw nuts to improve farmers’ incomes.

The Nut Traders Association of Kenya chairman Johnson Kihara backed the proposal, stating that ‘a window of at least four years should be opened so that farmers can recover from this loss.’

Be the first to react

Support

Support this reporting

M-Pesa support recorded against this story.

Send support →

Stay close

Get the briefing

Major updates by email. No spam.

Get email brief →

Share

Save share card

Download a clean portrait card for sharing.

Save image →