Kagwe Directs Millers to Purchase 400,000 Wheat Bags to Support Local Farmers

Nairobi: Agriculture Cabinet Secretary Mutahi Kagwe has instructed millers to purchase 400,000 bags of locally grown wheat that remain unsold. This directive is part of a broader effort to bolster local wheat production and support farmers struggling with market conditions.

According to Kenya News Agency, the government, through the Agriculture and Food Authority (AFA), will release C60 import licenses to 21 millers under the Cereal Millers Association (CMA) once the purchase is completed. Currently, a shipment of 260,000 imported wheat bags is stationed at the port of Mombasa, incurring a demurrage fee of US$ 0.3 cents per tonne daily, while only 1.3 million bags have been sold so far.

Kagwe, after a meeting with wheat farmers and millers, advised farmers to adhere to the set prices of Sh5,300 per bag for Grade 1 wheat and Sh5,200 per bag for Grade 2, urging them not to accept lower prices. The meeting sought to reinforce a 2010 tripartite agreement among the Cereal Millers Association (CMA), Cereal Growers Association (CGA), and the government, aimed at ensuring fair pricing and protecting farmers' interests.

To address declining local production, now at 8 percent of the annual consumption of 26 million bags, a Wheat Sector Standing Committee was established. The committee, which includes the Ministry, CMA, CGA, NCPB, AFA, county governments, and farmers, will be gazetted by the Ministry. Its primary goals are to enforce compliance with local purchase programs and facilitate millers' qualification for the 10 percent duty remission scheme under East African Community (EAC) rules.

Kagwe also encouraged the committee to utilize technology for reliable data collection to enhance credibility, accountability, and transparency within the wheat sector. This approach aims to improve farmers' incomes and achieve food and nutrition security.

The directive comes amid ongoing protests by farmers in Narok, Nakuru, Uasin Gishu, and Timau over low prices paid by millers, despite a binding agreement and set prices for wheat. Farmers have urged the government to regulate wheat importation to ensure sufficient market access for local produce.

The Wednesday meeting was attended by Narok County Governor Patrick Ntutu, Senator Ledama ole Kina, Deputy Speaker Gladys Boss, Hon. Agnes Pareiyo (Narok North), Silvester Ntutu (Narok South), and representatives from the State Department for Agriculture, AFA, NCPB, CGA, and CMA, along with numerous farmers.