Stern action will be taken against maize flour hoarders, PS Owino warns

The government has warned traders against hoarding subsidized maize flour saying that stern action will be taken against any culprit.

The State Department for Crops Development and Agriculture PS Francis Owino noted that it was unfortunate that some people, especially the retailers, had started buying the flour-to-stock pile them.

“We are sending a warning that this flour is meant for consumption and not storage. If we get information that anybody is hoarding this flour, stern action will be taken,” said Owino.

He noted that receiving and processing of invoices for payments commenced on July 26 and continue to date.

Out of the Sh 4 billion released to facilitate the program, he said a total of Sh 256 million had already been paid.

“Payments of all invoices received are initiated immediately and payments are done within 24 hours," he said.

He was speaking in Kisumu on Saturday at the Kiboswa area at Trident Millers Ltd when he inspected and monitored the flour subsidy program,

He questioned why there was still a shortage of flour in the various supermarkets around.

The PS noted that this was because of the big supermarkets' credit arrangements with their suppliers.

“You know very well that these big supermarkets dont buy items in cash, they are supplied to sell and pay after 45 days and some of the millers are finding it very difficult to supply the flour to them. However, we are going to engage their umbrella body to ensure this matter is addressed."

He noted that the retail processes have now stabilized at Sh100 across the country with millers up-scaling production and distribution to reach all areas and make the flour accessible.

“As such, we implore the public not to engage in panic buying as sufficient stock continues to be availed through accelerated production and availability of raw materials through imports as well as local production."

A total of 129 millers both large and medium scale were enlisted to participate in the program for an initial four weeks.

However, PS Owino noted that the program will be reviewed and a decision on the way forward will be made after the four weeks lapses to ensure Kenyans continue to have affordable flour.