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Farmers in Kenya are reaping the benefits of reforms in the agriculture sector, backed by strategic decisions and investments in the sector that employs a majority of Kenyans.
Over the last few months, farmers have been reaping big with the prices of various cash crops rising steadily with sugarcane being the latest to record a reasonable jump in prices barely three months after a similar increase in May.
The latest review of sugarcane prices by the government has seen the price of a tonne of sugar rise to Sh5750, up from 5500 that was set in May this year.
The previous increase effected in May saw the price shoot from Sh5250 to Sh5500, signaling better times for sugarcane farmers in the country.
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The increment of Sh250 was approved by the 4th Interim Sugarcane Pricing Committee after reviewing ex-factory sugar prices for the April to June period with the new prices taking effect on July 21, 2025.
Agriculture CS Mutahi Kagwe
Agriculture Principal Secretary Dr. Kipronoh Ronoh directed all players to ensure timely payment to farmers while also implementing the new prices.
“The Committee approved an increase in the price of cane from the current Shs. 5,500.00 per tonne to Kshs. 5,750.00 per tonne, effective 21st July 2025,” read the letter signed by the PS.
A number of cash crops and farm produce have recorded a steady increase in prices with the government implementing reforms in the sector aimed at cushioning farmers, reducing the cost of production and making farming profitable.
Coffee farmers are among the beneficiaries of the reforms with prices surging to a record high.
Baragwi Coffee Factory which owns 12 wet mills in Kirinyaga paid as a record high of Sh145.10 per kilogram at Gachami Wet Mill with other factories also recording a significant increase in payout to farmers.
A similar trend has been recorded in macadamia nuts whose prices have continued to rise steadily from Sh20 per kg to more than Sh100 per kilo.
While appearing before the Senate in March this year, Agriculture CS Mutahi Kagwe revealed that processers had agreed to buy nuts from farmers at a minimum price of Sh100 per kilo.
A total ban in the export of raw macadamia nuts is also in effect to cushion farmers from unscrupulous dealers keen on exploiting them with low prices while making a killing outside the country.
The prices of a number of other cash cops has also increased with the government rolling out targeted interventions to bring down the cost of production.
The reforms are also witnessed in livestock farming, case in point being in dairy farming where farmers have witnessed a steady increase in milk prices with Kenya Dairy Board setting the farmgate price for a liter of milk at Sh50.
KDB chairperson Genesio Mugo says the 50 shillings per litre minimum price which remains in effect until the new prices are certified by the Ministry of Agriculture “is meant to shield dairy farmers from fluctuating prices during the anticipated long rains that usually result in a glut.
President William Ruto addressing participants at the 10th Annual Dairy Farmers Day in Meru on Saturday June 21, 2025
Last month, the government announced plans to reduce the price of sexed semen (processed semen that allows farmers to get offspring of the desired sex) from Sh2,900 to Sh1,000.