The Ministry of Agriculture and Livestock Development has approved the importation of 5.5 million bags of yellow maize to alleviate the ongoing maize supply shortage. This decision comes amid rising demand from both animal feed manufacturers and maize flour millers. Agriculture Cabinet Secretary, Mutahi Kagwe, explained that the scarcity of maize is not sufficient to meet the needs of both sectors, driving up prices.
In a statement released on Friday, Kagwe highlighted that the price of a 90-kilogram bag of maize has surged by about 26% in the last three months, directly impacting the cost of production. This increase in maize prices has led to higher costs for consumers, as millers have passed the price hike onto consumers in the form of more expensive maize flour (unga).
To mitigate this, the government will publish a directive allowing a list of approved animal feed millers to import non-genetically modified yellow maize at a 50% duty waiver. This waiver will remain in effect for one year, aiming to ease the pressure on local white maize stocks. The policy shift intends to allow millers who focus on animal feed production to access yellow maize while leaving white maize more accessible for human consumption.
The strategy is to stabilize maize prices by ensuring that animal feed producers rely on yellow maize, leaving more white maize for human consumption. This approach is expected to lower production costs for maize flour millers and, ultimately, reduce the prices of unga, providing relief to consumers.
Furthermore, the government is encouraging farmers to grow more yellow maize to meet the annual domestic demand for animal feed, which is estimated at over 1 million metric tonnes. This would help reduce the nation’s reliance on imports. In addition, the Ministry will release regular maize from the National Strategic Food Reserve to flour millers to help cushion consumers from the soaring prices of maize flour.
This series of measures aims to stabilize the maize market and ensure food security for both humans and animals in Kenya.
