- System will benefit maize, coffee, rice and potato farmers in the selected counties.
- The selected beneficiary will be issued with an e-voucher for subsidised inputs.
Image: FILE
Over 200,000 farmers from 12 counties will access farm inputs at affordable prices through the e-voucher system.
Agriculture PS Hamadi Boga said only registered farmers will benefit from the system to access inputs including seeds, fertiliser, agrochemicals and insurance from dealers.
He spoke on Tuesday during a virtual media briefing on the e-voucher digital programme that seeks to support farmers to boost their production.
The PS said the government will subsidise the inputs by 40 per cent while the farmer will pay the remaining 60 per cent.
"The selected beneficiary will be issued with an e-voucher for his or her eligible subsidy inputs. He or she will then present and redeem the e-voucher to the input supplier by paying using mobile payment method through the system we have developed with Safaricom. Upon successful redemption, the input supplier will issue the beneficiary with his or her inputs and will redeem the 40 per cent government contribution from the dedicated subsidy account in the commercial bank," he said.
The e-voucher programme will target farmers in four value chain crops including maize farmers in Bungoma, Trans Nzoia, Uasin Gishu and Nandi counties. Coffee farmers will benefit in Kericho, Nyeri, Meru and Embu, as well as rice farmers in Kirinyaga and Kisumu. Irish potato farmers in Nyandarua and Elgeyo Marakwet counties are also covered.
The PS said the National Value Chain Support Programme - commonly known as the e-voucher programme – is a significant part of the government’s digital agenda as it is designed to improve the fertiliser subsidy programme.
He said data and digital solutions play an important enabling role in increasing the incomes of small-scale farmers, pastoralists and fisherfolk.
The project aims to unlock 500,000 acres of agricultural production and agro-processing across priority value chains, as well as boosting household food resilience and reducing the number of food-insecure Kenyans.
Boga said the government targets to register 1.4 million farmers by 2023 and 2,300 agro-dealers at a cost of Sh700 million.
“By upscaling and expanding its reach for better impact, whilst building on regional and local experiences and lessons learned, the e-voucher programme will support agricultural production and marketing through input-subsidised agriculture using an electronic voucher input management system. This will be achieved through input subsidy support and incentives including seeds, agrochemicals, extension services and, later, insurance and market linkages,” he said.
In 2008, the government started the subsidised fertiliser programme to cushion farmers against high prices and to help in improving productivity. But over the years, unscrupulous traders colluded with officials at the National Cereals and Produce Board to buy the subsidised fertiliser, repackage it and then sell to farmers at a higher price.
In the end a few individuals benefitted from the subsidy fertiliser programme instead of the farmers.
In November 2018, the Ministry of Agriculture proposed to use e-vouchers for farmers to buy subsidised fertiliser from private agro-vet shops to weed out unscrupulous traders and help farmers access quality fertiliser.
Timothy Njagi, a researcher from Tegemeo Institute of Agricultural Policy and Development at Egerton University, said on Tuesday that the fertiliser subsidy programme should be redesigned to have more impact on farmers and increase productivity.
“The government should invest in the right people and the right objective. Providing the fertiliser is not a guarantee that farmers are using it correctly. Most farmers apply only one type at planting and another one for top dressing. But, ideally, they should apply two types of fertiliser for planting and two types of fertiliser for top dressing,” Njagi said.
Rice farmers from in Ahero in Kiumu and Mwea in Kirinyaga will be the first beneficiaries of the e-voucher subsidy for the coming planting season.
The programme and the ministry’s digital strategy will be launched on Friday by Agriculture CS Peter Munya in Ahero, Kisumu county.
Edited by Henry Makori