By Benadeta Mwaura - Reporter
Kenya, 23 January 2026 - The government has fully paid outstanding arrears owed to rice farmers in the Mwea Irrigation Scheme, ending years of delayed payments that had frustrated growers and stirred tensions in Kenya’s most important rice-producing region.
The Mwea Rice Growers Multipurpose Co-operative Society (MRGM), the country’s oldest and largest rice cooperative, confirmed that all payments due for rice delivered up to the end of December 2025 have now been settled.
According to MRGM Managing Director Anthony Waweru, the cooperative recorded a carry-over of less than one percent of stock into 2026, a major improvement from nearly 30 percent the previous year.
For many rice growers in Kirinyaga County’s Mwea Irrigation Scheme, delayed payments were an annual headache that strained farm operations and household incomes.
Clearing the arrears not only settles old debts but also restores confidence in the market and gives farmers certainty as they prepare for upcoming planting seasons.
MRGM’s executive team said payments were made in line with the agreement with the Kenya National Trading Corporation (KNTC), the government-linked entity responsible for purchasing paddy.
Offloading of rice stocks has continued smoothly, and farmers reported no complaints during the settlement process.
The Mwea scheme accounts for about 65% of Kenya’s rice production, making the flow of payments critical not just for local farmers but for national food security and market stability.
Rice production in Kenya has been gradually increasing over the past few years, from about 123,916 metric tonnes in 2022 to over 169,000 tonnes in 2024, with further growth expected in 2026 as irrigation infrastructure improves and farmers expand output.
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Despite these gains, farmers have expressed concerns in the past about the impact of imported rice on local prices. However, MRGM officials argued that Mwea rice holds a premium niche in the market, with local Pishori varieties selling at higher prices than cheaper imports, and does not directly compete with imported rice.
With arrears now cleared and stock uptake secured, farmers can focus on future production cycles.
But broader sector challenges remain, including ensuring that payments remain timely, protecting local producers against volatile global markets, and balancing the role of strategic imports with support for domestic value chains.
The resolution also comes amid ongoing legal and policy debates over rice imports and food security in Kenya.
A recent High Court order directed the immediate release of pending duty-free rice shipments to ease prices and supply pressures, highlighting the delicate balance between domestic production and imports in national food policy.
The government’s settlement of arrears owed to Mwea rice farmers marks a significant step in stabilising Kenya’s rice sector. It ends a major point of contention with growers, supports farmer incomes, and strengthens confidence in the Mwea irrigation scheme, a backbone of the country’s rice supply.
Kenya Clears Arrears Owed to Mwea Rice Farmers, What It Means for Agriculture and Food Security
Government moves to ease pressure in the country's largest rice-producing scheme
