Kenya to Import Maize from Zambia Amid Rising Unga Prices

Kenya has secured a commitment from Zambia to supply up to one million 90-kilogram bags of maize. This agreement aims to stabilize flour prices and replenish the country’s strategic food reserves, which have been impacted by prolonged drought.

Maize Price Increases and Supply Concerns

Maize flour prices have risen significantly over the past three months. A two-kilogram packet of the cheapest brands now retails between Ksh160 and Ksh170 (USD 1.24–1.32), compared to Ksh130 (USD 1.01) previously. Supermarket chains show leading brands trading between Ksh153 and Ksh168 (USD 1.19–1.30). The price of a 90-kilogram bag of maize has also increased, selling at Ksh4,200 (USD 32.56) compared to Ksh3,800 (USD 29.46) previously.

Strategic Food Reserve Levels

The National Strategic Food Reserve currently holds fewer than 200,000 bags, significantly below the target of 1.7 million bags. This shortfall has raised concerns about short-term maize availability. Millers are reporting tightening stocks, and farmers in the North Rift region are holding back grain, anticipating further price increases.

Government Response and Hoarding Ultimatum

In response to the situation, the Agriculture Cabinet Secretary issued a 30-day ultimatum to farmers suspected of hoarding maize. The government warned that failure to release stocks could trigger large-scale duty-free imports to lower prices. Farmers cite expectations of higher prices and concerns about reduced output due to erratic rainfall as reasons for stockpiling.

Maize Purchase Price Incentive

The government previously announced plans to raise the maize purchase price from Ksh3,500 (USD 27.13) to Ksh4,000 (USD 30.98) per 90-kilogram bag. This incentive was intended to encourage producers to sell their stocks, although millers continue to face low supply.

Cross-Border Supply Agreements

Kenya’s millers’ association has initiated high-level engagements with Zambia and Tanzania to stabilize maize supply. The association aims to ensure uninterrupted milling operations, protect consumers from price volatility, and support national food security for the country’s over 50 million maize consumers. The association emphasized the importance of cross-border partnerships, aligned standards, and transparent pricing mechanisms to build resilient grain markets.