The Kenyan government has reaffirmed its commitment to revitalizing the coffee sector, introducing reforms aimed at empowering farmers and restoring the country’s reputation as a global leader in coffee production.
Focus on Farmer Empowerment
Government Spokesperson Dr. Isaac Mwaura emphasized that the reforms prioritize ensuring farmers receive maximum value for their efforts. Among the key changes is the introduction of direct payments to farmers via personal bank accounts or mobile wallets, eliminating delays that have historically plagued the sector.
To further reduce farmers’ financial burden, the government has capped cooperative charges for services like processing and transport at 20% of coffee earnings.
Enhanced Transparency and Accountability
Dr. Mwaura announced measures to improve transparency within coffee cooperatives. By 2024/2025, cooperatives are required to digitize operations, including weighing scales and stock records, enabling farmers to track their produce more effectively. Clear records of farmers’ debts are also mandated to ensure transparency.
Safeguarding farmers’ earnings is another priority, with new rules separating their funds from cooperative accounts to ensure timely payments and prevent misuse.
Streamlined Borrowing and Improved Security
The reforms streamline borrowing by cooperatives, requiring farmer approval during annual general meetings and government oversight. To mitigate risks such as theft and crop damage, all coffee must now be insured, with cooperatives held accountable for securing coverage.
Security enhancements include directives for cooperatives to better protect coffee stocks or relocate them to safer locations when necessary.
Conflict of Interest Rules and Broader Agenda
To promote integrity, cooperative leaders are now barred from holding dual roles in both cooperatives and Savings and Credit Cooperative Societies (Saccos). This measure aims to prevent conflicts of interest and strengthen governance within the sector.
“These transformative steps are part of the government’s broader agenda to empower farmers and position agriculture as a cornerstone of Kenya’s economic transformation,” Dr. Mwaura stated during a press briefing in Nairobi.
Call to Action for Farmers
Farmers are encouraged to embrace these reforms and collaborate with cooperatives to maximize their benefits. The government remains committed to supporting the coffee sector as a critical driver of economic growth and sustainability in Kenya.
