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Government and Policy

Why Government Should Invest More In Wheat Production

BY Jane Muia · December 21, 2022 10:12 am

KEY POINTS

Kenya produces only 14 percent of the local wheat consumption of 900,000 tonnes per year. The country relies on imports to bridge the deficit. Last year it produced 250,000 tonnes of wheat which were a decline from the 405,000 tonnes produced in 2020.

KEY TAKEAWAYS

A kilo of wheat is ranging between 21.16 and 48.83 shillings. Wheat products such as wheat flour shot up to more than 200 shillings up from about 140 shillings last year. The 600 grams of bread has also shot to 85 shillings from around 60 shillings last year.

Farmers want the government to invest more in wheat production to ensure enhanced production and cut imports of the commodity.

The farmers attributed the current shortage of the commodity in the country to minimal government support and lack of sufficient certified seed, which limited production as farmers were sourcing the seeds from other farmers.

“In Kenya, it is quite difficult to acquire adequate certified seeds for wheat and this is tied to the investment the government has made in wheat research,” James Muhuhu, the general manager of Wangu Investments said.

The farmers also want the government to extend subsidies given to small-scale farmers to large-scale farmers to cushion them from the high cost of living.

Muhuhu said that wheat varieties that do well in one area may not thrive in another climatic region, pointing out the need for the government to come up with seeds that are customized to wheat-growing areas to maximize production. He said this is the only way that the country can engage in sustainable wheat farming that will put an end to the importation of the commodity.

Kenya produces only 14 percent of the local wheat consumption of 900,000 tonnes per year. The country relies on imports to bridge the deficit. Last year it produced 250,000 tonnes of wheat which were a decline from the 405,000 tonnes produced in 2020.

The effects have been heavily felt this year along with the effects of the Russia-Ukraine war and the severe drought in the country which added pressure on the commodity and its products.  The projections that wheat prices will be going even higher in the future are worrying for many households given that wheat is the second most consumed food in Kenya.

Many traders have faced margin calls from their futures brokers, forcing them to transfer the burden by increasing the regular price in their commodity trading accounts to cover their losses.

A kilo of wheat is ranging between 21.16 and 48.83 shillings. Wheat products such as wheat flour shot up to more than 200 shillings up from about 140 shillings last year. The 600 grams of bread has also shot to 85 shillings from around 60 shillings last year.

Related Content: Wheat Is Not Just Food In Ethiopia, It’s National Security

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