Kenya: Cheap Ugali May End Soon As Millers Defy Government


Millers have warned consumers to expect an increase in the price of Sh2 kilogramme packet, saying the government price ceiling is not sustainable.

On Monday, the United Grain Millers Association said shortages could be expected as early as next week as farmers are hesitant to sell their produce since they expect to the government to buy it at Sh3,000 per bag.

“The Sh75 per two-kilo cap being imposed and implemented by the government is off because we cannot afford to sustain that given that we buy maize at Sh2,300 to Sh2,600 per bag,” said the association’s chairman Peter Kuguru.

Mr Kuguru said the price of the Sh2kg packet to hit Sh100 as supply falls.

“The maize meal flour will go up due to the increased demand for maize across the country and its unavailability,” he said.

The millers contend that it was tenable to sell flour at Sh75 when the cost of maize per bag was Sh1,600.

They want to buy the maize from farmers at Sh1,800 so as to sustain the price at Sh80 per Sh2kg packet.

Agriculture Cabinet Secretary Mwangi Kiunjuri capped the price of the Sh2kg packet at Sh75.

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Publish date : 2018-10-29 11:03:21

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