Kenyans await cheaper flour after assurance by President

The price of maize flour remained the same in most parts of the country yesterday despite President William Ruto’s assurance that it had dropped to Sh150 for  a 2kg packet.

Millers interviewed told People Daily that the unavailability of maize currently means they are sourcing the commodity at a higher cost due to increased demand, leaving them with higher production costs.

This has forced majority of maize flour brands to maintain the elevated prices of the final consumer products to protect their working capital.

“The point here is we have the issue of availability and issues of cost. So even if the cost is high and it’s not available, there is nothing you can do. This is not just regionally but globally,” United Grains Millers Association chair Ken Nyaga said.

Apart from raw material shortage, other inputs such as energy prices, especially electricity and fuel are equally high, explaining the spike in the production cost.

A Cabinet meeting held yesterday resolved that the government will intensify efforts to bring down the cost of food.

“The Cabinet appreciated the fact that the government’s interventions have started to bear fruit, with the prices of basic commodities reducing significantly,” a dispatch released after the meeting read.

At the meeting held at State House, President William Ruto said: “Cabinet notes with satisfaction that the interventions have brought down the price of maize meal to an average of Sh155 from a high of Sh230,” the dispatch went on.

Meeting was optimistic that food prices will continue dipping as a result of the ongoing rains and the arrival of imported maize last week.

Cabinet reaffirmed the government’s policy of subsiding production and not consumption, and lauded the continued provision of affordable farm inputs, including subsdised fertiliser across the country.

With enhanced production coupled with the government’s strategic policy measures, the Cabinet pointed out that Kenya will soon become self-sufficient in food. On Monday, President Ruto lauded millers for working with government to bringing the cost of maize flour to manageable levels.

 “I must thank the patriotic millers who have worked with us. When we allowed them duty free facility, they have worked with us in bringing the cost of food to manageable levels and we have spent no money as Government unlike the subsidy programme that spent Sh8 billion in one month and I promise that is the direction we want to go,” Ruto assured.

In Nairobi, the price of Unga remained at between Sh180 and Sh230 depending on the brands in corner shops while in supermarkets the price ranged between Sh200 and Sh250 per 2kg.

“It is impossible for us to reduce the price before the government lets go of the money supposed to cover the 2022 subsidies, which only lasted less than two months,” said a shopkeeper who spoke to People Daily. He added that there were, however, a few traders selling the commodity at between Sh170 and Sh180 as a marketing strategy to attract buyers.

Wholesalers are selling the cheapest bale at Sh1,180 for six packets and the most expensive bale at Sh1,445. The same maize four was sold at between Sh160 and Sh256 in most supermarkets.

At Quickmart in Nairobi Central Business District, the price of the Umi brand was reduced from Sh209 to Sh159 while Ajab was reduced from Sh199 to Sh166.

At Naivas Lifestyle supermarket, Ajab retailed at Sh147, with sources attributing this to an ongoing promotion.

At Ng’arua mini-supermarket in Mishomoroni area in Mombasa, unga prices dropped from Sh230 to between Sh160 and Sh170.

Other parts

However, prices remained exorbitantly high in other parts of Mombasa yesterday afternoon where a spot check established that in most outlets unga  was retailing at between Sh220 and Sh180.

At Chandarana FoodPlus Supermarket in Nyali, the price has remained between Sh193 and Sh208.

Brands like Taifa and Soko were selling at Sh193 while Jogoo and Dola were trading at Sh208. The situation was, however, much worse in retail kiosks within Kongowea where the prices have ranged between Sh200 and Sh230.

In Nakuru, most brands were yet to reduce their prices with most maize meal brands still retailing between Sh190-Sh230, with the cheapest one selling at Sh167. Locals interviewed revealed that they were yet to see the Sh150 unga stocked in shelves, saying the government needed to keep its promise.

“We are witnessing cheap unga in social media, nothing here in Nakuru. Can the government actualise the promise?” Simon Kuria, a resident, said.

A spot check at Yako, Tulin Quick Matt, Uzuri and Eldo supermarkets in Eldoret town showed that unga was still high with some retailing at Sh203.

At Uzuri and Tulin super markets, Jogoo and Dola and Mfalme unga were selling at Sh194 and Sh199 respectively.

A supervisor at Yako supermarket, who declined to be named, said they were yet to adjust their prices owing to the old stock which they are yet to dispose of from the shelves. “We are yet to sell all the old stock of maize flour and that is why we have not dropped the prices of all the maize flour brands which are on our shelves,” he said.

This comes in the wake of State House Spokesman Hussein Mohammed announcing that the prices of maize flour in the country will start going down from this week just as the Head of State had assured Kenyans.

Fixed prices

In Kakamega, most brands retailed at between Sh200 and Sh220 at Quickmart, Khetias, MaishaMart, Mama Watoto and other smaller supermarkets in Kakamega town.

The prices were still fixed at between Sh220 and Sh240 depending on the brands, in all the retail shops that we visited.

Shopkeepers said they were yet to receive the cheaper flour.

“And even if we receive it we must exhaust our old stocks because we acquired at higher prices,” said Martin Musotsi, a supermarket owner at Shinyalu market.

At the Naivas in Bungoma town, the commodity retailed at Sh195 for a 2kg pack of maize flour and Sh205 at Khetias Supermarkets which are the main outlets in Bungoma. The Unga prices range from Sh195 to Sh250 in most of the supermarkets and retail shops.

The last attempt to bring down the cost of maize flour ended badly after millers contracted in the sunset days of President Uhuru Kenyatta’s regime are still following up pending bills worth Sh2.5 billion.

The government entered into a four-week contract with 129 millers to subsidize flour at Sh6.6 billion to address the maize shortage that had caused a spike of Unga prices.

Appearing before the National Assembly Agricultural Committee, the Cereal Millers Association had requested MPs to push for their payments but the latter are now saying the subsidy programme was a political avenue to siphon funds.

“You cannot ascertain the value for money to the user. You don’t even know if the maize flour reached the end user. You don’t know how it left the distributor door,” said Gatundu South MP Gabriel Kangombe.

Stories by Reuben Mwambingu, Roy Lumbe, Dennis Lumiti, Joy Ogwethi, Winstone Musisi, Cate Kulo and Mathew Ndung’u