A fresh dispute has emerged between seed maize growers and the government following the Ministry of Agriculture’s decision to reverse the recent price review by Kenya Seed Company. The growers argue that the price adjustment, initially implemented in July last year, was a well-considered move aimed at cushioning the company from the rising costs of production.
Kenya Seed Company had issued a circular to its distributors in July 2023, announcing a price increase of over 30% due to inflation and escalating production costs. This decision, according to the company, was made after thorough consultations with stakeholders in the seed production sector. However, the government’s recent intervention to revert the prices to their previous levels has sparked outrage among seed growers, who claim that the move is financially detrimental to both them and the company.
Speaking on behalf of the seed growers, their chairman, Antony Barasa Tulienge, emphasized that the government’s decision lacked technical input and a proper understanding of the economic factors influencing seed production. He warned that the reversal would significantly impact their earnings, making it difficult to sustain production amid rising costs of farm inputs and inflation.
“The decision to lower the seed maize prices without consulting experts in the industry is unfair and could lead to major setbacks in seed production. If the government continues to interfere with Kenya Seed Company’s pricing decisions, many farmers may abandon seed production altogether,” Tulienge cautioned.
The growers further argued that maintaining the revised prices was essential for ensuring a stable supply of high-quality seeds in the market. They stressed that reducing prices arbitrarily would strain Kenya Seed Company’s ability to meet production costs, potentially leading to lower seed availability and a decline in overall maize production in the country.
As tensions rise, stakeholders in the agricultural sector have called for dialogue between the government and seed producers to reach a balanced solution that safeguards both farmers’ interests and the sustainability of seed production. Whether the government will reconsider its position remains uncertain, but the looming threat of farmers withdrawing from seed maize production could have far-reaching consequences for Kenya’s food security.