Sunday April 13, 2025
NAIROBI, Kenya (HOL) — Kenya’s Agriculture and Livestock Development Minister Mutahi Kagwe has warned miraa cartels against exploiting farmers by purchasing the stimulant at unfairly low prices and selling it abroad at massive markups, particularly in Somalia.
Speaking in Meru County, Kagwe said some traders have been buying miraa for as little as 200 Kenyan shillings ($1.50) per kilogram and reselling it in Somali markets for up to 7,000 shillings ($52)—a price disparity he described as “exploitative and unsustainable.”
“It’s disheartening to see our farmers toil day and night, only for middlemen to reap massive profits at their expense,” Kagwe said. “This exploitation must end. We are committed to ensuring fair pricing for our farmers.”
The Ministry of Agriculture has since implemented new official farmgate prices, aiming to safeguard growers from predatory practices:Grade 1 miraa: 1,300 shillings per kilogram, up from 700;
Grade 2 miraa: 700 shillings, up from 350;
Alele variety: 1,000 shillings, up from 500.
The revised pricing follows a week-long export boycott by farmers protesting depressed rates offered by exporters. The government formed the Miraa Pricing Formula Committee under the 2023 Crops (Miraa) Regulations to evaluate production costs and propose new baseline prices.
Despite the reforms, many farmers in Meru’s Igembe region say traders are reluctant to pay the new rates, leaving large volumes of harvested miraa unsold and causing post-harvest losses.
Kagwe warned that traders who fail to comply will be delisted as authorized buyers.
“If you’re not ready to pay the set prices, you’ll be removed from the list. Go trade in maize or something else,” Kagwe said.
Miraa, known as khat, is a leafy stimulant crop commonly chewed in East Africa and the Middle East. The sector contributes an estimated 13 billion shillings (approximately $100 million) annually to Kenya’s economy. Somalia remains Kenya’s largest export market, followed by Israel and the Democratic Republic of Congo.