Cabinet Secretary for Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe during yesterday's consultative meeting with wheat sub-sector stakeholders
By MKT Correspondent
The war between wheat farmers and millers was yesterday resolved by Cabinet Secretary for Agriculture and Livestock Development, Mutahi Kagwe, after a day-long meeting between stakeholders in the sub-sector, and the millers. There have been demonstrations by farmers in Narok, Nakuru, Uasin Gishu and Timau areas over the poor prices paid by millers, despite the existence of a binding agreement between the two parties, and set prices for wheat.
In the resolutions, the CS directed that the millers purchase all the locally grown wheat that has not been purchased and which amounts to about 400,000 bags, subsequent to which the government, through the Agriculture and Food Authority (AFA) will release the C60 Import licenses for the 21 Millers under the Cereal Millers Association (CMA).
A total shipment of 260,000 bags imported by the millers is lying at the port of Mombasa, and attracting a demurrage fee of US$0.3cents per ton per day. A total of 1.3 million bags have been bought so far.
Further, the CS urged farmers to sell their wheat at the set prices of KSh5,300 per bag for Grade 1 wheat, and KSh5,200 per bag for Grade 2, and not to accept lower prices.
To restore trust in the tripartite agreement signed in 2010 between the CMA and CGA, with the government as a guarantor, to have millers buy wheat at mutually agreed prices, protect the interests of famers at all costs, a Wheat Sector Standing Committee composed of the Ministry, CMA, CGA, NCPB, AFA, County governments and farmers was formed.
The Ministry will gazette this committee. Key among its goals will be halting the decline in local production, which has fallen to 8% of the annual consumption of 26 million bags.
It will enforce compliance with the local wheat purchase program, which obliged Millers to purchase locally before they can qualify for the 10% duty remission scheme under the East African Community (EAC) rules, and get their import allocation quota.
In developing its terms of reference, the CS implored upon the committee to leverage on technology to curate reliable data, restore credibility, accountability and transparency in the sector, as this will lead to better incomes for farmers’ incomes, and achieve food and nutrition security.
Present during the meeting were Narok County Governor HPatrick Ntutu, Senator Ledama ole Kina, National Assembly’s Deputy Speaker Gladys Boss Agnes Pareiyo (Narok North) and Silvester Ntutu (Narok South), the State Department for Agriculture Dr. Kipronoh Ronoh and representatives from Agriculture and Food Authority (AFA) the National Cereals Board (NCPB), the Cereal Growers Association (CGA), the Cereal Millers Association (CMA) and scores of farmers.
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