Farmers lament poor maize prices amid bumper harvest
Farmers pack dry maize into bags in Nakuru County on September 23, 2024.
What you need to know:
- A spot check by Nation. Africa found that farmers are selling maize at between Sh2,200 and Sh2,700 for a 90kg bag.
- Prices are likely to drop further following the arrival of cheap grain from East African Community member states.
Farmers in North Rift are stuck with maize that cannot fetch better prices, while others are selling at throwaway prices despite a bumper harvest.
Nation. Africa has established that farmers are holding stocks worth millions of shillings as prices have plummeted to Sh2,200 per 90kg bag.
Brokers and millers are having a field day securing maize at low prices.
A spot check by Nation. Africa found that farmers are selling maize at between Sh2,200 and Sh2,700 for a 90kg bag. This translates to between Sh30 and Sh70 per kilogram.
Prices are likely to drop further following the arrival of cheap grain from East African Community (EAC) member states.
Farmers are calling on the government to allocate funds to the National Cereals and Produce Board (NCPB) in the supplementary budget.
NCPB acts as a market stabiliser, buying produce at attractive prices of over Sh4,000 per 90kg bag.
Low prices
Small-scale farmers have been the hardest hit, having to contend with low maize prices set by buyers after the government delayed the timely opening of NCPB silos.
Disillusioned farmers, who are holding on to their crop after a bumper harvest partly attributed to subsidised fertiliser and favourable climatic conditions, are unable to deliver the produce to NCPB because the government failed to allocate funds for the purchase of the crop under the National Strategic Food Reserve in the recent national budget.
“The situation is likely to get worse than last year, considering that we still have a huge stock of the previous season's yield while harvesting this season's crop is ongoing,” said Mr James Songok, from Kerita, Uasin Gishu County.
“In the event, that the government does not allocate more funds under the supplementary budget, middlemen will cash in on the desperation of the farmers to offer low prices and hoard the produce to cause artificial shortages in the market,” said Mr Kipkorir Menjo, Kenya Farmers Association director.
Maize farmers had a bumper harvest this year with the government projecting about 70 million bags this season.
The Ministry of Agriculture has maintained that it will not increase the buying price from Sh4,000 per 90kg bag of maize and that the government will only open NCPB stores upon the availability of funds.
Farmers in the region are now calling on President William Ruto to intervene and stabilise the market prices to protect them from exploitation by middlemen.
Large-scale farmers led by Mr Patrick Wanjala from Saboti regretted that despite government investment in subsidy programmes to cushion farmers from high production costs, it has failed to cushion them from poor returns.
“This price is too low for us this year. The government should have set the lowest market price to help us get better returns,” said Mr Wanjala.
Lawmakers from maize growing zones are also under pressure from farmers to compel the government to allocate funds under the supplementary budget to purchase the crop at attractive prices of above Sh4,000 per 90kg bag.
Earn profit
“Farmers appeal that the NCPB commences buying the crop to enable farmers to break even and earn a profit,” appealed Prof Phyllis Bartoo, Moiben MP during last Sunday's Church service attended by President Ruto.
Farmers said they are forced to sell their maize at throwaway prices because of the tough economic times. The heavy rains have also frustrated the drying process, resulting in poor moisture content, which also affects the buying price.
“I sold 20 bags of maize last week and I got too little but because I had an emergency I just had to dispose of my maize. I sold at Sh2,300 per bag but would have fetched Sh34,000 more if I had sold at Sh4,000,” said Mr Peter Wafula from Kwanza.
The NCPB capped the purchase of the produce at 1 million bags last season, offering Sh4,000 per bag which locked out many small-scale farmers from benefiting from the scheme.
“Farmers may be forced to go to the streets unless the government comes up with clear policies, including offering attractive prices to support agriculture by allocating more funds to buy the crop,” said Mr Jackson Too from Moiben, Uasin Gishu County.
President Ruto has, however, steered clear of appeals by local leaders to have NCPB purchase the produce at Sh4,000 per 90kg bag to cushion farmers against exploitation by middlemen who are offering Sh2,000.
The President said that his government has procured sufficient subsidised fertiliser for the next planting season while urging maize and wheat farmers in the region to diversify to other lucrative crops like coffee, avocado, and macadamia.
