By Kepher Otieno - Reporter
Kenya, December 12 ,2025 - President William Ruto used this year’s 62nd Jamhuri Day celebrations to spotlight a long-standing economic vulnerability: Kenya’s heavy dependence on imported cereals.
He revealed that the country spends about Sh500 billion annually on these imports, a cost he described as unsustainable and one that undermines economic stability. His remarks signaled a policy shift aimed at strengthening domestic production and positioning agriculture as a central pillar of growth.
Kenya’s reliance on cereals from international markets has been driven by persistent production deficits in key staples such as maize and wheat. While local farmers supply much of the country’s needs, output rarely meets national demand.
The resulting gap leaves the economy exposed to global price swings, currency pressures, and supply disruptions. Reducing imports, Ruto argued, is essential not only for food security but also for economic sovereignty. At the core of the President’s message is a push toward agribusiness modernization.
He emphasized the need for better inputs, improved farming technology, and stronger market access to help farmers shift from low-productivity subsistence methods toward commercially viable production systems.
The administration sees agriculture not just as a social safety sector but as a driver of employment, investment, and exports. The economic case for cutting cereal imports is significant. The Sh500 billion outflow represents a sizeable drain on foreign exchange reserves. Redirecting even a portion of that spending toward domestic production could spur investment in farming, storage, processing, and logistics.
Expansion across these value chains would generate jobs while boosting overall agricultural competitiveness. Ruto’s call for Kenya to eventually produce surplus cereals for export reflects broader ambitions to reposition the country within the regional food market. If achieved, this shift could improve the trade balance and support long-term economic resilience.
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But the path forward is complex. The agriculture sector faces structural constraints ranging from fragmented landholding and weak extension services to climate-related disruptions and limited access to affordable credit. Infrastructure gaps—especially in irrigation, rural roads, and post-harvest storage—continue to undermine productivity and drive up costs for farmers and consumers.
Addressing these issues will require sustained government commitment and deeper collaboration with private investors and development partners. The strategy also aligns with Kenya’s wider economic agenda, which seeks to strengthen value-added industries and leverage opportunities under frameworks such as the African Continental Free Trade Area.
By focusing on competitive production for both domestic and export markets, the government aims to reduce vulnerability to global shocks and build a more resilient economic base. Ultimately, the President’s call to reduce cereal imports marks a critical step in redefining agriculture’s role in Kenya’s economy.
Success will depend on coordinated action to modernize production systems, close infrastructure gaps, and support farmers through reliable markets and financing.
If these reforms are sustained, Kenya could shift from being a net importer of cereals to a regional supplier—enhancing food security while retaining more value within the domestic economy.
