Today's Headlines
- Two Exhibitions Are On At Ramoma, Nairobi
- Country to Review Tourism Law
- Econet Wireless Finally Rolls Out
- Odinga Warns of Civil Unrest
- Mulee Rules Out Harambee Stars U-Turn
- Taking Up a Women's Agenda
- More Than 6,000 Christian Youth Converge for Prayers
- Catholic Church Outraged By MPs' Refusal to Pay Tax
- Pope Benedict Praying for Release of Abducted Nuns
- Thousands Flee Amid Fears of Border Clashes
- Malaria Rates Plummet Among Children
- Winning Against HIV Stigma Behind Bars
- First Congress of Federation of African Journalists a Historic Milestone, Says IFJ
- Archbishop Lele Urges State to Act as Food Crisis Bites
- Regional Workshop Focus Border Management, Irregular Migration
- Silverbird Acquires Kenya's Nu Metro, Starts Operations in Ghana
- Raila is Evil, Says Minister
- Man Charged With Abduction of Two Catholic Sisters
- UN Censures State On Torture
- Agencies Seek $390 Million to Offset Climate And Food Risks
- UN-Backed Scheme Gives 3,000 Prisoners Clean Water and Sanitation
- Samosa Festival is On in Nairobi
- Heartstrings in Another Comedy
- Govts, Investors Engage RVR in Rail Bid
- Mwangi Replaces Mwebesa At NSE
- Riepa Hosts Business Association
- ICTR Petitions UN for Arrest of Kabuga
- UBA to Invest SH360 Billion in Kenya
- Free Movement of People Too, Not Just Goods and Capital
- Judges Running Out of Money?
Business Daily (Nairobi)
May 23, 2008
News Article By Allan Odhiambo
A bloated food bill awaits Kenyan households following a steady rally in prices of key commodities over 2007, a latest economic survey shows.
The Planning ministry said production of the country's main staple food, maize, dropped by 6.1 per cent to 32.5 million bags compared to 2006 effectively pushing up the value of marketed consignments of the commodity.
The value of marketed maize hit the Sh8 billion mark having increased by 11 per cent the previous year.
"This decline is associated with delay of long rains and low volume of short rains received," the Planning ministry said in an Economic Survey for 2008 released yesterday.
This trend of increased prices is expected to continue this year because of the violence witnessed in key producing areas following the disputed December 2007 presidential election results. An estimated 3.8 million bags of the commodity are believed to have been destroyed during the skirmishes in the first two months of the year.
Overall, the survey said, the sector continued to post an impressive performance over 2007 despite hitches such as unfavourable weather conditions that slowed its growth to 2.3 per cent compared to 4.4 per cent in 2006.
Prices of commodities recorded mixed performances with prices of tea and coffee taking a dip while those of maize, wheat, milk and sugarcane taking on a climb.
The value of marketed production hit Sh175 billion in 2007 having risen 18 per cent - indicating the huge pressures on consumers seeking supplies, especially the foods. The value of marketed cereals peaked at Sh15 billion last year having risen 12 per cent.
Horticulture was the biggest beneficiaries in terms of earnings taking home some Sh65.2billion in 2007 compared to Sh43.1 billion the previous year. Coffee production increased by 11 per cent to 53,000 tonnes; tea exports dropped to Sh46.8 billion.


