Farmers demand pay before maize deliveries to NCPB

More than two months after the National Cereals and Produce Board (NCPB) announced its readiness to receive maize for drying and storage, farmers are yet to make deliveries to respective stores.

Maize harvesting season has hit its peak in North Rift region but producers are reluctant to adopt new Warehouse Receipting System (WRS) saying they want cash for any deliveries to NCPB depots.

Even after top officials led by NCPB Managing Director (MD) Joseph Kimote, WRS Council chairperson Jane Ngige and CEO Samuel Ogola held a farmers' sensitisation forum at the board’s grain stores in Eldoret recently, most stores in the region remain empty.

Some farmers are reportedly selling produce from farm gate to traders in the informal market while others to millers who offer prices ranging between Sh2,200 and Sh2,400 per 90kg bag.

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In October, the cereals board said it is ready to receive produce from individual farmers, cooperatives and other stakeholders for drying and storage at subsidised cost.

But a section of farmers who spoke to The Standard in Eldoret town yesterday said they would prefer selling their grain to players who offer them ready cash than storing them in the cereals board stores and not knowing when they will receive their money.

“We are not sure if our produce will be bought from the NCPB since the government has not made any allocation of funds. The base line price of at least Sh2,500 per 90kg bag set by the government is also low considering transport, drying and handling charges,” said farmer Kimutai Kolum.

Kolum who was harvesting his maize in Soy, Uasin Gishu, also said he is optimistic prices in the informal market will improve going by current trends.

“Traders and millers who go for the produce at the farm gates have increased prices for a 90kg bag from Sh2,200 offered recently to Sh2,400 presently and we expect improved prices in the next few weeks,” said Kolum.

He claimed farmers would incur additional costs of drying and storage at NCPB. Kolum said Sh20 is charged to reduce moisture content per unit in every 50kg bag.

“With the recent rains in our region, maize harvested are on average of about 20 degrees centigrade in moisture and farmers will incur costs of drying to the recommended 13 degrees in every 50 g bag,” said Kolum.

He further added that implementation of the new WRS will also come with costs on farmers claiming that Sh8.40 will go for packaging, Sh16.70 for cleaning, Sh2.80 fumigation on top of drying charges.

The farmer urged the State to allocate and release funds to NCPB to enable it pay farmers promptly for deliveries rather than storing produce with additional costs.

Farmer Jackson Kwambai said: “We are worried with the new WRS policy in the sector. Farmers want cash to enable them prepare for the next planting season and also meet their financial obligations including school fees once schools reopen in January.

“The WRS may be good for large scale maize farmers but disadvantageous to small scale producers who are the majority in maize farming and are hard hit by the current economic challenges,” said Kwambai, a farmer from Moiben in Uasin Gishu County.

Mr Paul Kerich claimed that Sh 2,500 set by the government as maize producer price had disadvantaged farmers saying traders and millers are now using it to frustrate producers yet there is a good demand for maize.

“The government through NCPB did not procure any produce last year and all stores are currently empty and we expected that funds would be allocated for replenishment for the country’s food security,” said kerich.

Last month, NCPB and WRS council toured UASIN Gishu to enlighten farmers on WRS. It is a system where a farmer can deposit their produce in a certified warehouse and is issued a document indicating deposit costs and can be used to acquire other needs like inputs or other goods.

The document can also be used for lending by financial institutions upon production by the depositor.

Yesterday, some NCPB officials who declined to be quoted said some farmers have been thronging the board stores to make inquiries about maize deliveries under the WRS and payments.

Officials however said only a few farmers had delivered produce for drying and storage.