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Govt reforms coffee sector to boost farmers’ earnings

The government has reiterated its commitment to revitalising the coffee sector to benefit farmers and secure Kenya’s place as a global leader in coffee production.

Recognising the challenges that have hindered the industry’s growth, the Kenya Kwanza Government has introduced transformative measures to address long-standing issues, empowering farmers and creating a foundation for sustainable development.

At the heart of these reforms, according to the Government Spokesperson Dr. Isaac Mwaura, is ensuring that farmers receive the greatest value for their efforts.

To achieve this, Dr. Mwaura disclosed that direct payments have been introduced, ensuring farmers are paid swiftly and transparently via their personal bank accounts or mobile wallets, which eliminates delays that have historically burdened farmers.

Additionally, he revealed that the government has reduced cooperative charges to a maximum of 20 per cent of coffee earnings for services such as processing and transport, significantly lowering production costs for farmers.

“To enhance transparency, cooperatives are required to maintain clear records of farmers’ debts and digitise their operations, including weighing scales and stock records, by 2024/2025. This allows farmers to track their coffee and promotes accountability within the sector,” directed the Government Spokesperson.

Speaking during a press briefing in Nairobi, Dr. Mwaura stated that Farmers’ funds are now safeguarded through new rules that separate their money from cooperative accounts and also ensure timely payments and prevent misuse.

Borrowing by cooperatives has also been streamlined, with strict regulations requiring farmers’ approval during annual general meetings and oversight by the government.

“In response to risks such as theft and crop damage, all coffee must now be insured,” he noted, saying that Cooperatives are responsible for ensuring insurance coverage and addressing any failures.

Dr. Mwaura added that security measures are also being enhanced, with cooperatives directed to protect coffee stocks more effectively or relocate them to safer locations when necessary.

To promote integrity, he revealed that the government has introduced rules to prevent conflicts of interest by barring cooperative leaders from holding dual roles in cooperatives and Savings and Credit Cooperative Societies (Saccos).

“The strides made in transforming the coffee value chain are part of the government’s broader agenda to empower Kenyan farmers and position agriculture as a key pillar of our economic transformation,” assured Dr. Mwaura.

Meanwhile, the government is encouraging farmers to take advantage of these reforms and work closely with cooperatives to maximise the benefits of these initiatives.

By Michael Omondi

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