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April 29, 2007

Kenya considers bulk fertiliser imports

The Kenyan government is considering importing fertilizer in bulk in order to provide the inputs at an affordable price to the farmers. Ministry of agriculture secretary Dr. Wilson Songa said,"We will be able to negotiate for better prices if we buy it in bulk and ensure that farmers get the commodity at a cheaper rate."

National Cereals and Produce Board managing director Naftali Mogere said the ministry, through the Kenya Agricultural Research Institute (KARI) would test soil acidity for farmers for free to determine what type of fertilizers were best to use. He said this was part of incentives that the government was extending to farmers to ensure increased production of all crops.

The two were speaking at the opening of the second African Grain Trade Summit in Nairobi in April, where participants were expected to come up with new systems and ways of creating an enabling environment for grain trade to thrive. During the meeting, agriculture minister KiprutoArap Kirwa said Kenya was investing along the grain value chain, from production research to structured marketing links, by building partnerships with the private sector. "We have seen the fruits of investing in agriculture by current economic indicators of 5.8 percent growth in 2005, up from 2.8 percent in 2003," he said.

The minister however said financing of the grain sector would only be enhanced when the sector matured to the development of a working commodity exchange system, where grains values are determined by supply and demand. A structured grain trading system will enhance proper storage, grading and standards, warehouse receipt-financing and the development of commodity exchanges. This would also open new markets and opportunities for farmers.

Kirwa restated that Africa has enough food to feed itself, but an open trade policy needed to be encouraged and investment in the necessary infrastructure made. "Studies by the Regional Agricultural Trade Expansion Support Program in 2006 indicated that the East African region has a surplus of 4 million metric tonnes of maize," he said.

Capital FM

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