Kagwe lifts wheat producer price to Sh5,100 per 90kg bag for 2026
Key points
- CS Mutahi Kagwe set the 2026 local wheat producer price at Sh5,100 per 90kg bag (was Sh4,750).
- Price emerged from AFA-coordinated talks with the Cereal Growers Association, farmers and millers.
- Season outlook: about 1.0 million 90kg bags vs 1.7 million last year after weather and barley shift.
- More than 2,000 farmers in six counties are expected to sell into the mop-up at aggregation centres.
Sh5,100 per 90-kilogram bag — that is the new government producer price for locally grown wheat in the 2026 season, up from Sh4,750 last year, Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe announced in a Friday statement carried by the Kenya News Agency.
Kagwe said the figure was reached after consultations coordinated by the Agriculture and Food Authority (AFA) with the Cereal Growers Association, wheat farmers and cereal millers — an attempt to balance farmgate returns against millers’ need for predictable flour costs. The price applies at designated aggregation centres where the state has already begun a wheat mop-up exercise intended to prioritise local grain before imports.
Smaller harvest, wider support tools
“We expect one million 90-kilogram bags of wheat this season, down from 1.7 million bags harvested last year due to adverse weather conditions and the shift by many farmers to barley production after favourable barley prices in 2025,” Kagwe said. He still expects production to rebound if barley prices ease and wheat becomes more attractive again. More than 2,000 wheat farmers from Narok, Nakuru, Meru, Laikipia, Nyandarua and Uasin Gishu are expected to benefit.
Other revitalisation measures listed include expanded fertiliser subsidies, high-yielding and climate-resilient varieties through KALRO and private seed firms, mechanisation, quelea-bird control, commercial land leasing and climate-smart practices. Officials now project about five per cent production growth this season — below an earlier 10 per cent forecast — while still arguing the package will cut import dependence over time. Agriculture desk: Agriculture. Verified: Sh5,100 vs Sh4,750, 1.0m vs 1.7m bags, six counties, AFA/CGA talks, five-vs-ten per cent growth language. Actual farmgate receipts will depend on grading, transport to aggregation centres and whether millers honour the coordinated price.
Millers and bakers will watch whether the higher producer price feeds into flour retail tags or is absorbed in margins. Farmers should confirm weighbridge and payment timelines at named centres rather than relying only on the national headline rate.
Based on Kenya News Agency reporting of CS Kagwe’s statement. AFA circulars and aggregation-centre notices control operational detail for sellers.