This archive report was first published on 13 May 2020.
Kenya is facing a looming maize shortage, and the government's decision to allow millers to import the produce has been met with resistance from the industry.
The Gazette notice granting millers a licence to import maize was published on April 20, but it only allows importation before May 30, a timeframe that millers say is unrealistic.
According to Nicholas Hutchinson, group CEO of Unga Ltd, 'No miller is able to import maize into the country within the permitted window, which expires on May 30.' He added that 'the timelines are just unrealistic.'
Paloma Fernandes, CEO of Cereal Millers Association, said that two vessels were meant to ship maize to Kenya from Topolobampo, Mexico, but one contract has been cancelled with losses amounting to close to $1 million, while the other one will be diverted to another destination.
The government has permitted millers to import about two million bags of white maize for human consumption and an extra two million bags of yellow maize for animal feeds at 14 per cent and 10 per cent duty respectively.
However, millers are warning that the price of maize flour will likely go up in three weeks' time, and that Kenyans should brace for a biting shortage.
Published on May 13, 2020, by The EastAfrican.