Image courtesy of Daily Nation 23/04/2020 |
The politics of imported maize in Kenya
In June 2020, Kenya was set to import 4 million bags of maize amidst huge outcry from small scale farmers. Same politics of maize repeating themselves?
There is nothing more painful
than being a maize farmer in Kenya. Maize farmers complain every year, and plant maize again every year. Why? Most maize growers have not been able to do away
with the crop mostly because growing maize is more of a traditional practice
than rational business decision. Furthermore, most farmers in the maize growing
regions say that maize is the only crop they know how to grow. Aware of these
weakness, Kenyan political class and elite brokers have decided to mercilessly
exploit farmers and take them for a ride. You will understand why as you read
through.
From every source of evidence,
it has been clear that the biggest challenge that our farmers face is due to the high cost of production. For example, during the rain-abundant seasons, most
farmers achieve very high farm yields. This is true because Kenyan markets
always experience surplus of certain produce after every season of frequent rainfall.
During these peak seasons of
high production, markets are overflown with farm produce that sell at throw
away prices. At the same time, a lot of other farm produce are reported to be
rotting on the farms due to market unavailability or lack of infrastructure and
logistics to deliver them to the market. This reality provokes a thought in my mind- that low
productivity might not be biggest problem facing our small-holder farmers. I believe Kenya produces enough maize to fully meet the national demand. In
my view, high cost of production and poor post-harvest management are the
greatest obstacles.
Today I will address the factor of high cost of production,
and the latter shall be a topic for another day.
Something important to
remember is that, historically, Kenya experiences drought once after every five
years. This means four years of bumper harvest and one year of hunger. However,
topics of people going hungry hit headlines every year . Why? This is
because of two things:
- Poor post-harvest management: Even though most farmers are subsistent farmers, they cannot hold their produce for long before it goes bad. Six months after harvesting, you will find farmers with rotten maize in their granaries. Remember, in Kenya, farmers have only one planting season, meaning that whatever they harvest must maintain them through to the next harvesting season.
- Low market prices: Anytime farmers experience good harvest, what follows are very low market prices, resulting to farmers not making enough profits during peak seasons.
Why import 4 million bags ? Politics of maize at play in Kenya
The issue that farmers never
get satisfactory market prices comes about every year. The reason behind
could be that farmers quote their produce way too expensive; or the market
offer is way too low. For instance, maize farmers battle it out every year with
the Kenya Strategic Grain Reserve (SGR) over the price of dry maize. Farmers
always give a conditional price of at least KSh 3000 per bag of 90Kgs or else withhold their grains. On the
other hand, the government requires only 0.5 billion tons (4 million bags) of
maize to fill in all strategic grain reserve silos in the country. This is a
capacity that local farmers could supply very easily, but every year, the
government deliberately bypasses local producers citing that local maize is too
expensive.
The government has been importing maize from countries such as
Uganda and Mexico at a reported cost of Ksh 2000 per bag. During the 2nd
quarter of 2020 in the middle of covid 19 pandemic, the government decided to
import 4 millions bags of maize , again leaving behind local maize farmers who
had plenty of the commodity in their stores.
This recurrent trend of
noncompetitive market prices is a call for experts to weigh in their thoughts and
suggest ways of cuttings cost at production level for our small-holder farmers.
For these issues to be solved, the government must be willing to solve them.
The Kenyan government has demonstrated lack of will to solve farmers problems
especially maize farmers in the Rift Valley region. When the government will be willing, they can
consider my suggestion below:
Because farmers have always
received subsidized fertilizers, I want to assume that the high cost of
production is tied to other inputs. Mechanization services are expensive. And
given that maize is one of the cereal crops that are easily mechanized, most maize
farmers hire mechanization services at one point or the other. The government could
make an investment to bring engine power near the farmers. This could be
done by expanding the geographic coverage of government mechanization centers
where farmers can have increased access to cheaper mechanization services. The
government could also give incentives to entrepreneurs who wish to venture into the business
mechanization hire services. If mechanization becomes affordable and yield remains
high, farmers could sell their maize at cheaper price and still make good
profit.
By doing so, locally produced
maize could become more competitive and could turn government and millers's focus
from importing to buying from local farmers at lowered cost.
Joseph Wambugu is a consultant in Agribusiness
Follow him on LinkedIn
3 Comments
Good article. Farmers also need to explore value addition on maize to improve on the meagre earnings they get.
ReplyDeleteThanks Dedan. What options are there for smallholders? i can only think of feeding chicken and cows with maize to get animal protein.
ReplyDeleteGood read there Wambugu
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