This archive report was first published on 14 July 2019.
Published on July 14, 2019
Agriculture Cabinet Secretary Mwangi Kiunjuri has kicked up a storm by warning that the price of a two-kg maize flour could skyrocket to Sh150 if the Cabinet does not approve importation of maize.
However, this is a stark contrast to his previous stance, where he warned of stern action against those who hike the price of maize flour, which was then selling at Sh75 per two-kg packet.
Between April and December 2017, the National Cereals and Produce Board (NCPB) imported 15 million bags of maize valued at Sh39.6 billion, taking up all the space in the 39 NCPB depots across the country.
However, the country is now facing a maize shortage, with consumers being charged as much as Sh120 for a two-kg packet of maize flour.
The price of a bag of maize dramatically dropped in 2018, following bumper harvests, with small-scale farmers selling their produce at a loss, according to a survey by Tegemeo Institute.
Commercial farmers, on the other hand, wanted the Government to buy their produce at Sh3,200 per bag, but the Government insisted on a price of Sh2,300.
The two sides eventually settled on Sh2,500, but the production of maize declined due to erratic long rains and delayed subsidized fertilizer.
Millers have been claiming that there is a shortage of maize in the country, but the Government insists that the shortage is artificial.
Strategic Food Reserve Trust Fund chairperson Noah Wekesa has said that the shortage was exaggerated to justify the importation of maize.
