President William Ruto has announced a reduction in fertiliser prices as part of the government’s interventions to lower the price of food in the country.
In a televised address on the government’s interventions in agriculture from State House, Nairobi, Ruto said that the price of a 50kg bag of fertiliser will be reduced from Ksh3,500 to Ksh2,500 effective August 1, 2023.
“Today, I am proud to announce we shall bring down the price of fertilizer from Ksh. 3,500 to Ksh. 2,500 per 50 kg bag. At this price, we expect a significantly higher uptake of fertilizer. Since fertiliser is the game-changer of agricultural productivity, this should translate to higher production in the next planting season,” he said.
According to the President, on the first day of subsidizing fertiliser, on August 1, 34,000 bags of fertiliser were sold to farmers. The government, during the short rains, aims to distribute at least two million 50kg bags of fertiliser across the country.
“For the coming short rains, the government has embarked on the distribution of fertiliser to farmers throughout the country, with a view to ultimately delivering 100,000 MT, or 2 million 50kg bags, at a subsidised cost of Ksh2,500,” Ruto added.
“Further, I am happy to announce that our partnerships with county governments to provide last-mile delivery of fertiliser to farmers will be complemented with the opening of more than 50 distribution centres at the grassroots.”
The President also announced that the government is implementing a national initiative to acquire 100 driers, which will be distributed to various National Cereals and Produce Board (NCPB) depots nationwide to serve maize farmers at subsidised rates.
“It is our initial and primary intervention to mitigate post-harvest losses, which usually claim as much as 30 per cent of produce harvested, especially with the onset of expected El-Nino rains in the October-November-December season,” he added.
Ruto also announced the implementation of the Warehouse Receipt System Act, 2019, which establishes a structured and well-regulated trading system for agricultural commodities.
The government will also increase the budget for the Agriculture Finance Corporation (AFC) from Ksh2 billion to Ksh 10 billion, to facilitate affordable credit available to farmers.
The President says that the target is to produce 61 million bags of maize annually between this season and 2027.
“Long rains usually account for 80 per cent of a season’s production. From the long rain season alone, an estimated yield of 44 million bags is expected, compared to last year’s 32 million bags. As a result of effectively administered strategic interventions, we are definitely on course to meet national demand in full this year,” Ruto said.
In 2017, the President announced that Kenya produced 39.6 million bags of maize. In 2018, production rose to 44.6 million bags but later slumped to 39.7 million bags in 2019. In 2021, 40.2 million bags were produced and 43 million bags last year.
