Kenyan Members of Parliament (MPs) led by Mbeere North MP Geoffrey Ruku are calling for a government-to-government (G-to-G) procurement model for fertilizers to address rising costs and ensure food security. The motion, currently pending in the National Assembly, aims to secure quality fertilizers at subsidized rates from surplus-producing countries.
Mr. Ruku emphasized the need to alleviate the burden on farmers caused by inflated fertilizer prices attributed to private suppliers’ markups. The move is crucial, given agriculture’s significant contribution to Kenya’s GDP and the nation’s food security concerns.
If approved, the proposed G-to-G model would streamline fertilizer procurement and distribution through established agricultural entities, mirroring the successful framework in fuel procurement. However, concerns linger regarding the model’s effectiveness, as highlighted by an audit report by Auditor-General Nancy Gathungu.
Although specific partner countries remain undisclosed, data suggests Jordan, Germany, and Russia as primary fertilizer suppliers to Kenya. This strategic shift aims to address persistent challenges of fertilizer scarcity and price volatility, which have burdened farmers.
In conjunction with parliamentary efforts, President William Ruto’s fertilizer subsidy program seeks to ease farmers’ financial strain by reducing fertilizer prices. Nonetheless, issues surrounding distribution transparency and logistical efficiency warrant attention.
Amidst these challenges, the push for G-to-G fertilizer procurement underscores a unified commitment to support farmers and fortify Kenya’s food security in a sustainable manner.
photo source: Google
By: Montel Kamau
Serrari Financial Analyst
19th March, 2024
