FOOD PRICES

How government plans to reduce cost of living - Oguna

He said the State has extensive plans to salvage the current situation

In Summary

• He said the government released Sh5.5 billion to help farmers get farm inputs to boost their agricultural production.

• Alternative sources of wheat have been identified and millers in the country are already importing wheat amounting to two million metric tons per month to meet local demand.

Government Spokesperson Cyrus Oguna at a past event.
Government Spokesperson Cyrus Oguna at a past event.
Image: COURTESY

Government spokesperson Cyrus Oguna on Tuesday revealed government plans to cushion Kenyans from the rising cost of living.

In an interview at Radio Taifa, Oguna said the State has extensive plans on reducing the cost of living that has pushed many families to the wall.

"We are working to ensure the cost of living goes down by putting a waiver of import duty that applies to white non-GMO maize imported into the country on or before 6th August 2022," he said.

He said the government released Sh5.5 billion to help farmers get farm inputs to boost their agricultural production.

He said Sh3.5 billion has been released to the tea and sugar sectors to help boost production and to pay farmers in those areas.

"Out of this, Sh1 billion is fertilizer subsidy to tea farmers,  Sh1. 5 billion to the sugar sector for factory maintenance and payment of farmers and Sh1 billion to implement the interventions," Oguna said.

Oguna said alternative sources of wheat have been identified and millers in the country are already importing wheat amounting to 2 million metric tons per month to meet local demand.

The spokesperson said Sh45.93 billion has been allocated to the fuel subsidy program and a  further Sh20.85 billion was paid mid-last month, thereby making the pump prices in the country the lowest in the region.

"Sh 3.2 billion is set aside to encourage fish farming for Fish Feeds, Dam liners and predator kits, upgrading of fish landing facilities in different counties and Training," Oguna added.

He said the government is seeking a long-term solution to ensure self-sufficiency in Palm Oil production by increasing palm trees production in western and coastal counties, promoting the establishment of local oil processing plants, promoting local production of other oil crops such as Sunflower and Simsim and securing of planting material for supply to farmers. 

Oguna attributed the high cost of living to the Covid-19 pandemic,  prolonged drought, Ukraine-Russia conflict and the continued depreciation of the Kenyan shilling against US dollar.

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