Millers reject claims of sidelining local wheat farmers
Business
By
David Njaaga
| Mar 09, 2025
The Cereal Millers Association (CMA) has refuted claims that millers are prioritising wheat imports over locally produced wheat, saying the accusations are misleading and unfounded.
In a statement, CMA Chief Executive Officer Paloma Fernandes said millers have consistently purchased nearly all available local wheat at premium prices to support farmers.
She noted that imports are essential to bridge Kenya's wheat deficit, with local production meeting only 7 per cent of the annual demand.
"Millers have purchased all available local wheat, with imports necessary to ensure a steady supply of chapatis, bread, mandazis, and biscuits," said Fernandes.
Kenya consumes 2.1 million metric tonnes of wheat annually against a local production of 153,000 metric tonnes, leaving a 93 per cent gap.
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Between July 2024 and February 2025, millers imported 1.36 million metric tonnes of wheat under the East African Community (EAC) duty remission framework.
Fernandes observed that unlike millers in other EAC countries, Kenyan millers pay premium prices for local wheat before importing, making them less competitive in export markets.
CMA proposed reducing production costs, offering tax incentives, and introducing subsidies on essential farm inputs as measures to increase local wheat production from 8 per cent to at least 45 per cent of national demand within five years.
Agriculture and Livestock Cabinet Secretary Mutahi Kagwe said on Monday, March 3, that the National Cereals and Produce Board (NCPB) would collect 321,000 bags of wheat from farmers from Tuesday, March 4.
He said farmers would receive payments within 30 days of delivery.
"A memorandum of understanding between NCPB and millers will see wheat collected by millers from NCPB, with payments made within 14 to 21 days," said Kagwe after a meeting at Kilimo House in Nairobi.
CMA urged policymakers to base discussions on accurate data to safeguard Kenya's food security, saying better coordination and transparent record-keeping would enhance efficiency in wheat purchasing and inform policy decisions.