Government Sets New Wheat Prices for 2025/2026 Season

In Summary

• Government sets new minimum wheat prices for 2025/2026 season.
• Grade 1 wheat (bushel weight 78+) priced at KSh 4,750 per 90kg bag.
• Grade 2 wheat (bushel weight 75–77.9) set at KSh 4,650 per 90kg bag.
• Grade 3 wheat to be sold on a willing buyer–willing seller basis.
• Prices reflect production costs, aim to boost local production.
• Millers must buy local wheat to access import quotas under Duty Remission Scheme.

The Kenyan government has announced new minimum wheat prices for the 2025/2026 season, setting Grade 1 wheat (bushel weight 78 and above) at KSh 4,750 per 90kg bag and Grade 2 wheat (bushel weight 75–77.9) at KSh 4,650 per 90kg bag. Grade 3 wheat, with a bushel weight below 75, will be traded on a willing buyer–willing seller basis, according to the Agriculture and Food Authority (AFA) on July 25, 2025.

The pricing, determined after a stakeholder workshop in June and a follow-up meeting on July 3, is based on production costs and a structured formula. AFA Director General Bruno Linyiru stated, “The goal is to offer farmers fair compensation and encourage increased production.” The new prices are lower than the previous season’s KSh 5,300 for Grade 1 and KSh 5,200 for Grade 2, reflecting market dynamics and stakeholder negotiations.

The announcement comes as Kenya seeks to reduce reliance on wheat imports, which reached 1.99 million metric tons in 2023 against a local production of 309,492 metric tons. Narok, the largest wheat-producing county, yielded 130,563 metric tons in 2023, followed by Nakuru and Uasin Gishu. The AFA’s Wheat Purchase Programme aims to bolster domestic output, with millers required to buy local wheat proportional to their import quotas under the Duty Remission Scheme.

Farmer Jane Wambui from Uasin Gishu welcomed the pricing but raised concerns about enforcement. “The prices are fair, but millers often delay payments, affecting our planning,” she said. The AFA has pledged to monitor compliance and engage stakeholders for future price reviews to ensure the sector’s sustainability.

The initiative supports Kenya’s broader goal of enhancing food security amid rising wheat consumption, projected to hit 2.25 million metric tons in 2025/2026 due to growing demand for wheat products. Further consultations are planned to address challenges like high production costs and climate impacts.