The government of Kenya has increased the producer price for locally grown wheat for the 2026 season, raising it to Ksh5,100 per 90-kilogram bag.
The new price represents an increase from last year’s Ksh4,750 per bag and is expected to benefit more than 2,000 wheat farmers across Narok, Nakuru, Meru, Laikipia, Nyandarua, and Uasin Gishu counties.
In a statement on Friday, August 7, Agriculture Cabinet Secretary Mutahi Kagwe announced that the government had approved the new price to improve returns for wheat farmers while ensuring a stable and affordable supply of wheat to millers and consumers.
Agriculture Cabinet Secretary Mutahi Kagwe. Photo: Courtesy.
Kagwe noted that the decision followed extensive consultations coordinated by the Agriculture and Food Authority (AFA).
The talks brought together wheat farmers, the Cereal Growers Association, and cereal millers, resulting in a consensus that balances the interests of producers, processors, and consumers.
The agreed producer price will apply at designated aggregation centres, where the government has already begun purchasing locally produced wheat before allowing any imports.
This move reaffirms the government’s commitment to prioritising locally grown grain and protecting domestic farmers.
Kagwe also highlighted that this year’s wheat harvest is expected to decline significantly compared to last season.
Approximately one million 90-kilogram bags are expected this season, down from about 1.7 million bags harvested last year.
The reduction has been caused by unfavourable weather conditions and a shift by many farmers to barley production after barley fetched about Ksh5,300 per bag last season.
However, barley prices have now eased to between Ksh4,200 and Ksh4,500 per bag, making wheat production more competitive once again.
Kagwe described the agreement as a win-win outcome for both farmers and millers.
He said it provides better returns to producers while also taking into account the need to maintain affordable consumer prices.
He added that the consultative approach adopted by AFA and industry stakeholders demonstrates that collaboration across the wheat value chain can protect local production, support the milling industry, and safeguard national food security.
