The government 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 said the government had approved the new price to enhance returns for wheat farmers.
"The Government has approved a producer price of Ksh5,100 per 90-kilogram bag for locally produced wheat for the 2026 season, up from Ksh4,750 last year, in a move aimed at improving farmers' incomes while ensuring a stable and affordable supply of wheat to millers and consumers," the statement read.
Kagwe said the new pricing followed extensive consultations coordinated by the Agriculture and Food Authority (AFA), bringing together wheat farmers, cereal growers and millers to reach a balanced agreement.
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"The decision follows extensive consultations coordinated by the Agriculture and Food Authority (AFA) involving the Cereal Growers Association (CGA), representatives of wheat farmers and cereal millers, culminating in a consensus that balances the interests of producers, processors and consumers," the statement added.
Kagwe added that the agreed producer price would apply at designated aggregation centres where the government has already begun purchasing locally produced wheat before allowing imports.
"The agreed price will apply at designated aggregation centres where the Government has commenced the ongoing wheat mop-up exercise ahead of any wheat importation, reaffirming its commitment to prioritizing locally produced grain and protecting domestic farmers," the statement further read.
At the same time, Kagwe noted that this year's wheat harvest is expected to decline significantly compared to last season due to unfavourable weather and a shift by many farmers to barley production.
However, he said the easing of barley prices has made wheat farming more attractive again.
"Approximately one million 90-kilogram bags are expected this season, compared to about 1.7 million bags harvested last year. The reduction has been occasioned by adverse weather conditions and a shift by many farmers to barley production after barley fetched about Ksh5,300 per bag last season.
"This year, barley prices have eased to between Ksh4,200 and Ksh4,500, making wheat production more competitive once again," the statement explained.
Kagwe described the agreement as beneficial to both producers and processors, saying it improves farmers' returns while safeguarding affordable consumer prices.
"The Government considers the agreement a win-win outcome for both farmers and millers, as it provides better returns to producers while taking into account the need to maintain affordable consumer prices. 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," the statement noted.
Elsewhere, the government said it remains committed to revitalising Kenya's wheat industry through targeted interventions.
According to Kagwe, the interventions include expanding crop-specific fertiliser subsidies for both small-scale and large-scale wheat farmers, accelerating research and distribution of high-yielding and climate-resilient wheat varieties through KALRO and private seed companies, promoting land commercialisation initiatives particularly in Laikipia, and expanding mechanisation.
Others are strengthening control of destructive quelea birds, discouraging excessive subdivision of agricultural land, encouraging long-term land leasing for commercial wheat production and promoting climate-smart agriculture.
Despite revised projections for this season's production growth, Kagwe expressed confidence that the planned interventions will boost local wheat production and reduce dependence on imports over the coming years.
"Although wheat production growth this season is now projected at about 5 percent, compared to an earlier projection of 10 percent, the Government remains confident that these interventions will significantly expand local wheat production in the coming years and enhance Kenya's food security," the statement concluded.
