Kenyans will pay less for maize flour as a result of the government’s large miller subsidy, which went into effect on Monday, July 18.
The Ministry of Agriculture ordered all stores to sell the two-kilogram flour package at Ksh100, down from the previous high of Ksh230.
The letter also stated that the 500-gram packet should not cost more than Ksh30 and that the 1-Kilogramme packet should not cost more than Ksh52.
However, the subsidies will only be in place for one month, by which time the government anticipates that prices will have returned to regular market levels.
The parties have agreed that the government will send out market surveillance teams to make sure that sifted maize flour is sold at the highest suggested price.
“It is agreed between the parties that the ministry shall deploy market surveillance teams to ensure that sifted maize flour is sold at the maximum recommended retail price stated.
“The market price of maize (per 90kg bag) as at the date of this contract is in the range of Ksh 5,800 and Ksh 6,000. Based on this market price, MOALFC will compensate the miller for each unit sold,” the statement read in part.
