Kenya waives 50% duty on yellow maize imports to curb rising flour, feed prices

KENYA – The Kenyan government has declared a 50% duty waiver on the importation of 5.5 million bags of yellow maize over the next year to cushion Kenyans from soaring unga prices. 

This initiative aims to alleviate the surge in the price of a 90-kilogram bag of maize observed over the past three months, which has significantly impacted consumer prices. ​

Mutahi Kagwe, the Agriculture and Livestock Development Cabinet Secretary, emphasized that this measure is designed to address the escalating competition between animal feed producers and human food millers for the limited white maize stocks.

According to Kagwe, redirecting animal feed manufacturers to utilize yellow maize is expected to decrease the pressure on white maize supplies, thereby making it more accessible and affordable for human consumption. ​

The imported yellow maize, confirmed to be non-GMO, will be allocated exclusively to vetted animal feed millers with adequate processing capacity.

This strategy is anticipated to lower production costs for millers focusing on human food, leading to more stable and reduced unga prices for consumers. ​

CS Kagwe also called upon local farmers to consider cultivating yellow maize to satisfy the domestic demand of over 1 million metric tonnes the animal feed industry requires annually. He highlighted that such a shift would diminish reliance on imports and positively contribute to the national economy. ​

This policy intervention comes after, recently, the milling industry warned that if maize prices continue to escalate, ugali, a daily staple in most Kenyan homes, could soon become unaffordable for a large segment of the population.

According to them, a 90-kilogram bag of maize now costs KES 4,800 (US$42.72), with projections indicating a further increase to KES 5,500 (US$48.95) by April.

The Association of Kenya Feed Manufacturers (AKEFEMA) said that the maize shortage is driving up costs, affecting both consumers and the livestock sector. Poultry farmers, in particular, are struggling with the high cost of feed, which is driving up chicken and egg prices.

Industry leaders, including the Poultry Breeders Association of Kenya (PBAK) and AKEFEMA, urged the government to take immediate action. Their primary demand was a waiver on maize import duties to stabilize prices and ensure sufficient supply in the market.

Despite the current maize supply challenges, the U.S. Department of Agriculture (USDA) projects a positive outlook for Kenya’s maize sector. In its March Grain and Feed Annual report, the USDA forecasts Kenya’s maize production to rise to 4.4 million metric tons in the 2025/2026 marketing year, a 15.8% increase from the 3.8 million metric tons recorded in the previous season.

The USDA attributes the boost in production to a 9.5% expansion in the area dedicated to maize cultivation, increasing to 2.3 million hectares, 200,000 hectares more than the prior year. 

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