Maize Production Experienced a 13.75 Percent Decline in 2017

Maize production declined to 32 million bags in 2017 from 37.1 million bags in 2016, representing a 13.75 percent y/y drop according to the 2018 Macroeconomic and Fixed Income Report by Genghis Capital.

The decline was as a result of the prolonged drought coupled with the fall armyworm infestation that affected cereal produce together with elevated farm input costs.

The advent of armyworms is said to have destroyed more than a quarter of the expected maize harvest in 2017.

READ: Supply of Green Maize Decline in Most Parts of the Country

Tea production, on the other hand, was estimated to have lagged 12.91 percent y/y in 2017 to record 412,000 metric tons while Coffee production for 2016/17 season was also anticipated to have dropped from 46,100 metric tons recorded in the 2015/2016 season.

Despite the decreased volumes in the main cash crops, total export value has been boosted by higher global prices.

According to the report, as at 3Q17, export value in coffee and tea had grown 18.01 percent y/y and 13.43 percent y/y, respectively, uplifted by 15.21 percent y/y and 26.07 percent y/y average international price increment.

Export of fresh horticulture showed a marked growth with data in the first eight months of 2017 indicating a 16.42 percent y/y uptick to 82.65 billion shillings, buoyed by cut flowers and fruits segments.

The report disclosed that agriculture, which is the backbone of the Kenyan economy contributing 22.23 percent overall GDP expanded a marginal 0.81 percent in the first nine months of 2017, down from 4.97 percent in a similar period in 2016.

This drop was mainly attributed to the prolonged drought coupled with the fall armyworm infestation that affected cereal produce.

The agricultural sector is prone to erratic weather conditions thus food security has been identified in the economic plan whose overall goal will be to enhance large-scale production, driving smallholder productivity and reducing food cost.