NAIROBI, Kenya – Sugarcane farmers across Kenya have received a much-needed boost after the government announced an increase in the minimum price per tonne by Sh250.
Effective July 21, 2025, farmers will now earn Sh5,750 per tonne, up from Sh5,500, following a review by the Interim Sugarcane Pricing Committee, a body tasked with ensuring fair compensation for growers.
The price adjustment was communicated in a letter from the Ministry of Agriculture, which said the decision was made during the committee’s second sitting on July 17.
“Having considered the prevailing ex-factory sugar prices over the past three months (April–June 2025), the committee approved an increase in the price of cane… effective from July 21, 2025,” said Agriculture Principal Secretary Kipronoh Ronoh.
The directive also instructed all sugar companies to adhere strictly to the new pricing and ensure timely payments to farmers — a persistent concern in Kenya’s sugar sector.
Relief for Farmers Amid Sector Struggles
The new rate is expected to bring some relief to sugarcane farmers, many of whom have long grappled with delayed payments, rising input costs, and volatile market conditions.
Farmers’ unions and agricultural lobbies have for years pushed for a more responsive pricing mechanism that reflects not just market demand but also the high cost of cane production.
The Interim Sugarcane Pricing Committee, formed to bring transparency and fairness into the pricing process, will continue to review cane prices periodically based on market trends and sugar factory performance.
A Sector in Need of Reforms
Kenya’s sugar industry has been riddled with challenges ranging from mismanagement and miller inefficiencies to import pressure and low farmer morale.
Recent efforts by the government to revive public mills and support smallholder farmers are seen as part of broader reforms aimed at stabilizing the sector.
With this new price revision, industry stakeholders hope it marks the beginning of more structured, fair, and timely compensation for farmers.
