Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe has reaffirmed the government’s stance on protecting Kenya’s macadamia and tea sectors by maintaining the ban on the export of raw macadamia (in-shell).
Speaking on the matter, CS Kagwe emphasized that lifting the ban would negatively impact the macadamia value chain, contradicting the government’s efforts to enhance value addition and promote local industrial growth. He noted that the decision was necessary to safeguard more than 200,000 jobs and revitalize the nuts and oil value chain.
Between July 2023 and February 2025, Kenya earned Sh8.7 billion from exporting 10,670 tons of processed macadamia, compared to Sh2.3 billion generated from 14,384.6 tons of raw macadamia, demonstrating the significant economic advantage of local processing. The CS highlighted that processed macadamia fetches Sh816 per kilogram, a stark contrast to the Sh161 per kilogram offered for in-shell nuts.
“We are focused on supporting farmers and processors rather than lifting the export ban. Farmers will be assisted in forming cooperatives to negotiate better prices and will be incorporated into the Kenya Integrated Agricultural Management System (KIAMIS) for access to government subsidies,” CS Kagwe stated.
To further protect local processors from unfair competition, the ministry is implementing a minimum guarantee price of Sh100 per kilogram. Additionally, the government will provide training on advanced production techniques and quality enhancement, facilitate international market access, and establish a structured production calendar to ensure effective quality control.
Farmers will be encouraged to organize into cooperatives at the county level. Through these cooperatives, they can negotiate directly with local processors and exporters, ensuring fair pricing and stable market conditions. Furthermore, processors and exporters will be required to enter into contractual agreements with farmers, witnessed by both the county and national governments, to safeguard the interests of all stakeholders in the macadamia sector.
CS Kagwe urged farmers to register with KIAMIS to fully benefit from government subsidy programs, reinforcing the government’s commitment to fostering a robust and sustainable macadamia industry.
The government’s approach aims to position Kenya as a leading player in the global macadamia market while ensuring local farmers and processors reap maximum benefits from their produce.
