The government Has announced that it will buy maize from farmers at Sh.4000 per 90kg bag. This is despite uproar from maize farmers who wanted Sh.6000 per 90kg bag.
Speaking on a visit at NCPB Depots in Eldoret, Agriculture PS Dr Paul Rono said, the current price is the most profitable for farmers.
To determine if the price is profitable, we have to analyze the cost of maize production in Kenya. In maize production, there are costs associated with land preparation, seeds, fertilizers, Pesticides, Herbicides and harvesting labour.
To farm one acre you need, Sh. 5000 for ploughing, sh. 3000 for furrowing, 10kgs of Maize seeds for sh.6000, 2bags of DAP at sh.6000,2bags of NPK 23.23.0 at sh.5000 and 2bags of CAN at 3500, Sh.2000 for insecticides, sh.4000 for herbicides and sh.5000 for harvesting.
| # | Input | Quantity | Cost sh. | Total Cost sh. |
| 1. | Ploughing | 1 | 5,000.00 | 5,000.00 |
| 2. | Furrowing | 1 | 3,000.00 | 3,000.00 |
| 3. | Seeds | 10Kg | 3,000.00 | 3,000.00 |
| 4. | DAP fertilizer | 2bags (100kgs) | 6,000.00 | 12,000.00 |
| 5. | NPK Fertilizer | 2bags (100kgs) | 5,000.00 | 10,000.00 |
| 6. | CAN Fertilizer | 2bags (100kgs) | 3,500.00 | 7,000.00 |
| 7. | Insecticides | 200ml | 2,000.00 | 2,000.00 |
| 8. | Herbicides | 2L | 4,000.00 | 4,000.00 |
| 9. | Harvesting | 5,000.00 | 5,000.00 | |
| 10. | Drying and Other Costs | 15,000.00 | 15,000.00 | |
| Total Costs | 66,000.00 |
On a good season with good rainfall, this farmer harvests at least 40 bags (90kg). This means the cost of producing 1 bag is Sh.1650 earning the farmer a profit of Sh. 2350.
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However, few farmers can produce 40 bags per acre. Mostly produce less than 20 bags per acre at the cost of Sh.3,300 per bag which is still profitable if sold at Sh. 4000.
Farmers producing 15 bags per acre and below who form the majority are set to make losses if they sell at sh 4000 per bag.
It’s good to note most farmers top-dress twice and depend on subsidized fertilizer which is often low quality. Though the cost of production is low, the quantity produced is below 10 bags per acre. The heavy rainfall this year destroyed most of the crops and production might be low.
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