By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Newsunplug KenyaNewsunplug KenyaNewsunplug Kenya
  • News
    • Metro
    • Politics
    • Business
  • Entertainment
  • Lifestyle
  • Sports
  • Tech
  • Spotify
Reading: Miraa farmers pay the price of a slump in exports, cartels
Share
Notification Show More
Font ResizerAa
Newsunplug KenyaNewsunplug Kenya
Font ResizerAa
  • News
  • Entertainment
  • Lifestyle
  • Sports
  • Tech
  • Spotify
  • News
    • Metro
    • Politics
    • Business
  • Entertainment
  • Lifestyle
  • Sports
  • Tech
  • Spotify
Have an existing account? Sign In
Follow US
© 2022 Foxiz News Network. Ruby Design Company. All Rights Reserved.
Newsunplug Kenya > Blog > News > Miraa farmers pay the price of a slump in exports, cartels
News

Miraa farmers pay the price of a slump in exports, cartels

hallanaija
Last updated: August 16, 2023 9:23 am
hallanaija 2 years ago
Share
Miraa
A miraa farmer harvests miraa from his farm at Kiguchwa market, Meru County on June 10, 2022. PHOTO | CHARLES WANYORO | NMG
SHARE

Alexander Mwenda, a Miraa farmer in Gaciongo, Igembe North chopped down his earlier treasured trees three weeks ago sparking uproar, shock and disbelief among other growers and dealers in Meru county.

Mr Mwenda has been in the miraa-growing venture for two decades but was irked by the low prices and hired a power saw, which cleared a two-acre farm. He planted avocado trees instead.

“It had become worthless because instead of earning me more than Sh100,000 per harvest as was the case, over the past three years I have been earning less than Sh20,000,” he said in an interview with Business Daily. But he still has eight more acres of the crop.

Mwenda is not alone. Thousands of miraa growers have been frustrated by the poor turn of events in the business that has seen earnings from the “green gold” plummet due to the loss of foreign market among other factors.

Kamakia Arunga, a farmer in Igembe South for over 30 years says the situation has worsened especially during dry seasons when their crop dries.

“We were promised that boreholes would be drilled to enable us to irrigate our crops but nothing has been done so far. I am also contemplating cutting down my trees and seeking alternatives,” said Arunga.

READ MORE  Ruto objects to the impeachment petition of Gachagua, claiming the court lacks authority.

Players also claim cartels are reaping from their woes.

President William Ruto, who visited the region recently, reiterated his commitment to kick cartels out of the agricultural sector and cushion farmers from poor pay for their produce.

“In our Kenya Kwanza plan, we aim to eradicate cartels in the agricultural sector and redesign the entire mechanism. We must sort out the agricultural sector and I must tell you that we will no longer continue like this,” Dr Ruto said.

Miraa

But farmers and traders say middlemen have dominated the export market to a level of controlling the volumes sold out.

Chairman of the Miraa Growers and Traders Cooperative Union, Mr Moses Lichoro, said after the Somalia export market was opened in July last year after two years of closure, new levies were introduced, which has increased the cost of the commodity to the destination making it unattractive.

“When the market was opened we used to sell 100 kilogrammes at Sh200,000 but it was reduced to Sh80,000 because exporters said they were not getting good market for our produce, which is a lie,” Mr Lichoro said.

Considered a mild stimulant, miraa is banned in the US, India, the United Kingdom, the Netherlands, several other European countries and neighbouring Tanzania.

READ MORE  Following the greatest drought in history, Brazil is hit by powerful storms that kill eight people.

In Kenya, several counties including Mombasa, Kilifi, Garissa and Kwale have in the past attempted to control its use by imposing legislations that have largely been ignored.

The National Authority for the Campaign Against Alcohol and Drug Abuse (Nacada) has also maintained that miraa is a drug and placed it in the same category as cocaine and other hard drugs, with leaders in Meru mounting a spirited effort to have the authority declassify the stimulant.

Kenya Bureau of Standards has, however, developed standards that are expected to guide the exploitation of the stimulant in value addition, which will see the processing of chewing gum and wine among other products from khat.

The rain started beating the over 150,000 farmers when exports to the United Kingdom were banned in June 2014.

At the time of the ban, records indicated that around 2,560 tonnes of khat worth $23.4 million (Sh2.3 billion) were exported to Britain between 2011 and 2012.

After exports to Somalia were suspended in March 2020, Nyamita estimated that farmers and traders were losing Sh16 million daily, with losses amounting to over Sh11.5 billion up to July 2022 when the move was rescinded.

READ MORE  Counties mark a decade with underperforming own-source revenues

The Meru County Integrated Development Plan (2018-2022) also projected that annual earnings from the crop would hit Sh9.5 billion by last year.

After the lifting of the ban, the Miraa, Pyrethrum and other Industrial Crops directorate at the Agriculture and Food Authority (AFA) reported that farmers exported 375,000 kilogrammes (375 tonnes) to Somalia alone, worth Sh1 billion during the month of August.

This means that the potential for the export market is worth over Sh12 billion every year. The figures for exports to Somalia indicate that each kilogramme was going for an average of Sh2,600 but currently, traders say while the price has reduced to less than Sh2,000 a kilogramme, quantities are limited.

A largely informal sector whose taxes were not determined until recently, the value of the miraa trade is yet to be accurately determined especially locally.

Currently, the government is levying $4.5 (Sh630) per kilogramme of exported khat.

Recognition of Miraa as a cash crop by the Agriculture Ministry in 2016 and the subsequent allocation of Sh1.2 billion for its development also boosted the sector, although the implementation of projects was marred by politics and misappropriation of funds.

 

You Might Also Like

Theft Turns Tragic As Man Breaks Into Shop In Kitui, Falls Head-First And Dies

Boyani Mokaya To Be Sworn-In On Monday As Chief Registrar

Bangladesh resumes demonstrations after an ultimatum is disregarded.

Magnitude 6.3 earthquake hits western Afghanistan

Lawyer Danstan Omari threatens to sue MP Kimani Ichung’wah over ‘Koinange Street’ tweet

Share This Article
Facebook Twitter Email Print
Previous Article NHIF NHIF under fire over Sh9b spending
Next Article Okutoyi Okutoyi makes history to be ranked among the top 1,000 in the world by global tennis body
Leave a Comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

about us

We influence 20 million users and is the number one business and technology news network on the planet.

Recent Posts

  • It has been confirmed that six players will be absent for Real Madrid in the upcoming match against Barcelona, including four starters!
  • Duale says public hospitals will be issued with title deeds
  • Pakistan reopens airspace after ceasefire with India
  • Toni Kroos Reveals the Weakness That Could Sink Barça in El Clasico
  • Barça – Real Madrid: Angry, he defies medical advice to play in the Clásico

Recent Comments

No comments to show.
Newsunplug KenyaNewsunplug Kenya
© Newsunplug Kenya. All Rights Reserved.
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?