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August 17, 2007

Kenyan farmers want wheat imports delayed over glut fears

Farmers in Kenya's North Rift region want a planned importation of 60,000 tonnes of wheat flour delayed until this season's produce is harvested.

The Government is under pressure to import 60,000 metric tones of wheat flour from Egypt and Mauritius under the Common Market for Eastern and Southern Africa (Comesa) agreement. It has already published a notice asking bidders to apply for rights for the importation whose deadline comes at the end of December.

The wheat farmers said its importation in the next four months would occasion a glut in the market and lower prices, thus making them incur losses.

"The Government should extend the planned importation until March next year, when we shall have harvested and sold out this year's produce," said Mr. George Kili, a member of Cereal Growers Association (CGA), an umbrella organisation for grain growers in the country.

"We expect a good harvest this season and early importation of the produce will render wheat farming a non-profit making venture," said Mr. Isaac Kibogy, a wheat farmer from Moiben in Uasin Gishu District.

Rift Valley Province earned more than Sh6.3 billion ($94 million) from 3.7 million bags of wheat harvested last year. The region produces half of the country's national annual consumption of eight million bags of wheat. To boost the crop's production in the province, the Government extended a credit of Sh482 million ($7 million) through the Agricultural Finance Corporation.

Harvesting of wheat in the region begins from September and extends to November. Most farmers in the region have switched from maize to wheat farming due to the more attractive prices offered. But unlike maize production, wheat farming is mechanised and requires huge capital investment.

Daily Nation

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