Deputy President Rigathi Gachagua has asserted that reforms in the Coffee sub-sector are bearing fruit, stating that the crop has fetched better prices this year.
Further, the DP said Kenya is on course to meet the European Union Deforestation Regulations (EUDR) before the December 30, 2024 deadline.
Speaking on Wednesday when he officially opened the Nairobi International Trade Fair 2024 at Jamhuri Park, Gachagua said the coffee has attracted higher prices at the Nairobi Coffee Exchange owing to the comprehensive reforms he has been spearheading since last year.
“On the coffee sub-sector, reforms at the Nairobi Coffee Exchange are bearing fruit, with 47 auctions conducted since re-opening in August 2023 to date. The average price per 50-kilogramme bag has increased to US$237 from US$188 before the reforms,” he said.
He added that 15 farmer co-operative union brokers (grower brokers) are delivering their own coffee for sale at the Nairobi Coffee Exchange as opposed to only one before the reforms.
He reaffirmed the Government’s commitment to boosting the Coffee Cherry Advance kitty that is managed by the New Kenya Planters Cooperative Union.
“In the Financial year 2024-25, we have an additional allocation of Sh3 billion for the Coffee Cherry Revolving Fund. In expanding and sustaining our coffee export markets, we have leveraged commercial diplomacy through our foreign missions,” he added.
Gachagua said his office is coordinating the push to meet the EUDR deadline
“As regards the European Union Deforestation Regulations, my office is coordinating a high-level inter-ministerial committee for compliance before December 30, 2024. I wish to assure our farmers that we will comply,” he revealed.
In the rolling out of reforms in the sector, the DP said thousands of agro-dealers and stockists have been employed nationally to assist in the distribution of farm inputs.
“To further our interventions in the agriculture sector, we have registered and geo-referenced at least 15,895 agro-dealers and 7,115 stockists across 45 counties, excluding Nairobi and Mombasa. This will ensure close monitoring of distribution of quality farm inputs,” he said.
In the dairy and maize sub-sectors, the DP said farmers were enjoying better prices for their products and inputs, respectively.
“Under the dairy and meat value chains, the government has raised the guaranteed minimum price per litre of milk by 35 per cent, from Sh37 in 2022 to Sh50 per litre in 2024 under New KCC…due to increased maize production, there has been a drop in the cost of a 2-kilogramme maize flour packet, from Sh169 at the beginning of the year to Sh130,” he said.