Kenya Slashes Fertilizer and Seed Prices to Bolster Food Security Amid Drought

The Kenyan government has announced a substantial reduction in the prices of subsidized fertilizer and certified maize seed, a move designed to mitigate the impact of drought on farmers and stimulate agricultural production. This latest intervention sees the cost of a 50-kilogramme bag of fertilizer decrease from Sh2,500 to Sh2,000, providing immediate relief to farmers across the nation.

Alongside the fertilizer subsidy, the state will now cover 50 percent of the cost for certified maize seed, effectively halving its price from Sh300 to Sh150 per kilogramme. This means a 2-kilogramme pack of maize seed will retail for Sh300 instead of Sh600, a 10-kilogramme pack for Sh1,500 instead of Sh3,000, and a 25-kilogramme pack for Sh3,750, down from Sh7,500. This significant relief targets approximately 40 million kilogrammes of certified seed, representing an estimated government investment of Sh6 billion in subsidies, and will be accessible through designated distribution channels.

Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe underscored that these measures align with President William Ruto’s administration's strategic pivot from subsidizing consumption to prioritizing agricultural production. This policy shift aims to reduce the financial burden of farm inputs, thereby increasing overall agricultural output and strengthening Kenya's critical food security, a vital concern for the entire East African region.

CS Kagwe highlighted the dramatic price evolution of fertilizer, noting that a 50kg bag retailed at approximately Sh7,500 in 2022. The National Fertilizer Subsidy Programme initially brought this down to Sh2,500, and with the latest reduction to Sh2,000, farmers are now benefiting from a more than 73 percent decrease from the 2022 market price. Since 2022, the government has distributed approximately 33.55 million 50-kilogramme bags of subsidized fertilizer to about 1.98 million farmers, with total government support amounting to an estimated Sh78.79 billion.

These past interventions have demonstrably coincided with a significant boost in agricultural production. Maize output, a staple in Kenya, soared from 34.3 million 90-kilogramme bags in 2022 to a projected 73 million bags in 2025. Concurrently, maize imports witnessed a notable decline of over 66.5 percent during the same period, indicating a stronger domestic supply.

The current initiative is specifically designed to safeguard these hard-won gains against the adverse effects of drought. “At the heart of this intervention is a simple principle: a farmer who has lost a crop to drought must not also lose the ability to plant the next crop because fertilizer and seed are beyond reach,” Kagwe stated, emphasizing the government's commitment to farmer resilience.

Looking ahead, the government pledges continued support for farmers affected by drought. This includes sustained investment in irrigation projects, water harvesting techniques, and other climate-smart agricultural interventions. These efforts are crucial for enhancing Kenya’s resilience to increasingly unpredictable weather patterns, a challenge faced by many nations across Africa.

This report is based on information initially published by Kahawa Tungu.