Treasury releases Sh3.6b for fertiliser subsidy plan
Farmers can now buy cheaper fertiliser at the nearest cereal board depots after the national government released Sh3.55 billion to finance 1.42 million bags of subsidised farm input for planting in this year’s short rains season.
Francis Owino, the principal secretary of the State Department of Crops Development and Agricultural Research confirmed that the fertiliser has been acquired and farmers are required to start accessing the commodity from selected stores.
“To ensure efficient delivery and effective control mechanisms are in place the fertilisers will be available through the National Cereals and Produce Board (NCPB) depots and sub-depots countrywide, effective September 19, 2022. Individual farmers will be entitled to a maximum of 100 bags of fertiliser,” he added. Farmers will buy a bag of DAP and UREA at Sh3,500 from high of Sh6,500 respectively, CAN (Sh2,875), NPK (Sh3,275), MOP (Sh1,775) and Sulphate of Ammonia (Sh2,220).
Short rains season
“The ministry appeals to farmers requiring fertiliser in the short rains dependent areas to visit the nearest NCPB depot or sub-depot to access the subsidised fertiliser,” Owino said in a statement sent to the media houses yesterday. He explained that the subsidised fertiliser programme will start with counties undertaking planting during the short rains season, normally from October to December.
In his inaugural Speech on September 13, President William Ruto assured Kenyans of the government intervention to address the high cost of living that has badly depressed the purchasing power of many people. He said taming high cost of living will be achieved by facilitating the availability and affordability of fertiliser, good quality seeds and other agricultural inputs with a view of empowering producers.
The measure to subsidise the farm inputs, Owino said is based on the recognition of high agricultural productivity as one of the key drivers to achieving 100 per cent national food and nutrition security.
He explained; “Agricultural inputs including fertilisers are major requirements towards boosting crop productivity. Fertilisers replenish the nutrients that crops extract from the soil thus guaranteeing soil fertility for sustained and improved agricultural productivity.”
“It is estimated that if used well, fertiliser use can increase food and cash crop yields by up to 50 per cent,” he added.
Owino regretted that access to agricultural fertilisers has in the recent past been threatened by the spikes in prices occasioned by global phenomena including the Covid-19 pandemic and the ongoing Russia-Ukraine conflict.
In the past 12 months, the high fertiliser prices have risen to levels that have affected both large and small-scale farmers, the main contributors to achieving 100 per cent food and nutrition security.
Government subsidies
Due to shortage of fertiliser internationally, prices of the commodity had increased to more than Sh6,000 per 50kg bag of DAP, which is used for planting.
However, government subsidies have helped to reduce the price by almost half, giving a reprieve to small scale farmers who have been unable to afford the fertiliser in the open markets.
According to the World Bank’s fertiliser price index latest report, high energy costs coupled with high natural gas and coal prices have pushed up the cost of fertiliser, a key element for food crop production.
Global environmental regulations have led to increased prices of raw materials such as sulphur and ammonia, which are used to manufacture fertiliser.
These fcators have combined to make it unaffordable to many the farmers.
