Murang'a: Farmers drawn from counties within the Mt Kenya region have decried poor macadamia prices, attributing it to the ban on the export of unprocessed nuts. In a press briefing on Tuesday, the farmers, led by their association leaders, claimed that currently, prices of macadamia have dropped to between Sh40 and Sh70, down from last year's prices, which ranged between Sh100 and 140 per kilogramme.
According to Kenya News Agency, the farmers are requesting the government to allow them to export at least 30 percent of their production to the Chinese market, which has high demand for unprocessed nuts. Macadamia Growers of Kenya Association official Muriithi Gichabi requested the government through the Ministry of Agriculture to support farmers in accessing better prices from the emerging markets. He noted that the ban on the export of unprocessed nuts leaves farmers counting losses, as the local licensed processors cannot exhaust all macadamia production from farms.
Gichabi stated, 'As we speak, Kenyan macadamia processors are holding millions of shillings from the agents, affecting their businesses. If the situation is not handled urgently, next year it will be worse.' He further faulted the Agriculture and Food Authority (AFA) for failing to ensure the players within the nut value chain followed the regulations imposed.
Nut Traders Association of Kenya Chairman Johnson Kihara blamed the Ministry of Agriculture for failing to suspend the sections of the regulations that restrict the export of inshell nuts. He observed that traders in the inshell nut business have lost tonnes of the commodity this year after the ban was imposed without notice.
Kirinyaga Senator Kamau Murango, who joined the farmers, also criticized AFA for disrupting the nuts' market by imposing unpopular regulations on the sale of unprocessed macadamia. He noted that other macadamia-producing countries like Zimbabwe and Australia have a state formula on the export of inshell and processed nuts, suggesting that Kenya should follow suit to ensure fairness.
In a rejoinder, AFA Director General Dr. Bruno Linyiru insisted that the ban on the export of raw macadamia nuts has tamed theft and harvesting of immature nuts. Speaking to KNA via phone, the Director said the ban on the export of inshell nuts remains active with processing being done locally. He noted that the shells are used to produce charcoal and organic fertilizer and regretted that stakeholders have highlighted a rise in malpractices within the macadamia nuts sector that compromised the integrity of the supply chain and undermined the reputation of Kenya's Macadamia Industry.
Dr. Linyiru added, 'The malpractices in the macadamia sector include harvesting of immature nuts and unauthorized trading, among others. The export of nuts to China undermines Kenya's market share in Europe among other destinations. Processing of the nuts locally also creates employment for thousands of youths in the factories.' Annually, the average production of macadamia in the country is 61,000 metric tonnes, earning in excess of Sh4.5 billion.