Subsidised maize flour quickly running out in parts of country

The Sh90 maize flour was quickly running out in many parts of the country on Saturday even as the government announced that it was developing modalities of roping posho mill operators in the ongoing flour subsidy programme.

A spot check by the Nation showed that most supermarkets in major towns had received inadequate stocks of the subsidised 2kg packet maize flour.

Places affected included Nairobi, Mombasa, Kisumu, Kwale, Kilifi, Nakuru, Kakamega, Eldoret, Voi and Kisii.

In Malindi and Magarini in Kilifi, shoppers were still buying the 2 kilogramme packet at Sh200 and not the subsidised Sh90 with most retailers interviewed saying they are still selling the old stock.

Ms Esther Siamin, a resident of Majengo Mapya said she had tried to search for the subsidised flour in Malindi in vain.

In Kwale, most shops were selling the 2kg packet of the commodity at Sh160. A shopkeeper, Mr Rashid Mwaleso in Ng’ombeni attributed the high price to low distribution of maize flour in local shops.

In Mombasa however, a spot check at various supermarkets revealed that the 2kg packet of the subsidised maize flour was being sold at Sh90 as directed by the government.

But shoppers at some supermarkets were restricted to buying a maximum of six packets.

AT SH90

In Nakuru, all leading supermarkets received limited stocks of the commodity, which was selling at Sh90.

Choppies supermarket manager Mr Peter Mukiri said that he had received 20 bales of Dola brand on Saturday morning.

“We had ordered for about 100 bales and this is not enough to last the whole day as customers are buying in large quantities because we have not put any restrictions on the amount a customer can buy,” said Mr Mukiri.

The situation was the same in Kakamega with supermarkets and shops reporting that they had run out of supply of the government subsidised maize flour.

A spot check indicated that wholesalers had received limited supply two days ago, which quickly ran out as residents rushed in to buy the flour.

Residents frustrated by the high prices of the maize flour complained that the government had not kept its promise to ensure the cheaper flour was available in shops and supermarkets.

Traders in Taveta, Wundanyi and Mwatate also complained that they had not received the subsidised flour.

But even as the shortage of the subsidised flour continued to bite, Agriculture Cabinet Secretary Willy Bett told the Nation that plans are underway to include majority of Kenyans in rural areas who rely on posho mills for their maize flour in the third phase of the programme.

'PROPER MECHANISM'

“The worry was that if we included the posho mills operators in this programme without proper mechanism in place, the likelihood of the subsidy not benefiting the intended consumers would be high,’ said Mr Bett.

Mr Bett says some of the mechanisms that the committee is considering to put in place include the use of Kenya Revenue Authority (KRA) inspectors to ensure the programme is not abused for selfish gains.

“With KRA in place, they will be able to carry out audits on the posho mills that would have benefitted in the programme by comparing the amount of maize milled and the quantities of flour that has been produced and trace how it was sold,” said Mr Bett.

Under this programme, posho mills that would like to benefit from the government subsidy will have to register their business with KRA if they have not done so.

Processors will be required to process, package and distribute the flour from this subsidy programme in packets clearly and boldly marked GoK Food Subsidy.

The government inked a deal with millers on Monday on the subsidy programme that would see processors now access maize at Sh2,300 per 90 kilogramme bag.

The first batch of flour hit the market on Wednesday amid low stocks, which millers attributed to logistical challenges in distribution, noting that it will be available countrywide today.

PUSHED COST

The shortage of maize had the cost of the flour rise to a high of Sh144 per 2kg packet as limited stocks had pushed the cost of a 90kg bag to Sh4,500.

The government this week moved in to ease tension between small scale millers and their large scale counterparts after the former complained of favouritism in the ongoing flour subsidy programme that has lowered the price of a 2kg packet to Sh90.

United Grain Millers Association, which is an umbrella body of the small millers had complained that the government only allocated them 100,000 bags of maize despite the fact that they control a larger market in the country.

The millers’ allocation was doubled to 200,000 bags and they have been promised to be given priority on imports that will be coming in from Ethiopia over the weekend.

Reports indicate that about 30,000 tonnes of maize have so far been imported from Mexico to address the shortage, with an additional consignment expected in a fortnight.

An additional five million bags will be imported between now and the end of July in order to maintain the lower prices.

According to State, there are 990,000 bags in the country at the moment that will last till the end of this month and 2.9 million bags will be imported in June and a further 2.1 million bags in July.

Report by Gerald Andae, Charles Lwanga, Fadhili Fredrick, Winnie Atieno, Francis Mureithi, Benson Amadala, Elgar Machuka, Sarah Akinyi, Brian Ocharo and Dennis Lubanga.