Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe speaking when he appeared before the Senate plenary on March 12, 2025./ MINISTRY OF AGRICULTUREAgriculture and Livestock Development Cabinet Secretary Mutahi Kagwe has reaffirmed the government's commitment to protecting Kenya’s macadamia and tea sectors.
The CS said that the ban on export of raw macadamia (in-shell) will remain in place to safeguard more than 200,000 jobs and boost local processing.
He emphasized that lifting the ban would hurt the macadamia value chain, contradicting the government's push for value addition and local industrial growth.
The move, he said, will help revitalize the nuts and oil value chain.
“Between July 2023 and February 2025, Kenya earned Sh8.7 billion from exporting 10,670 tons of processed macadamia, compared to Sh2.3 billion from 14,384.6 tons of raw macadamia,” CS Kagwe said.
The CS added that processed macadamia fetches Sh816 per kg, far higher than Sh161 per kg for in-shell nuts.
“We are focused on supporting farmers and processors rather than lifting the export ban. Farmers will be assisted in forming cooperatives to negotiate better prices and will be incorporated into the Kenya Integrated Agricultural Management System (KIAMIS) for access to government subsidies,” CS Kagwe added.
The CS said that the ministry is implementing a minimum guarantee price of Sh100 per kg.
He said the government will protect local processors from unfair competition, provide training on production techniques and quality enhancement, and facilitate international market access while establishing a regular production calendar for effective quality control.
He said the farmers will be assisted to form cooperatives within their counties. Through the cooperatives, farmers can negotiate with local processors and exporters.
The CS added that processors and exporters will enter into contractual agreements with the farmers, witnessed by both the county and the national governments.
He asked farmers to register in the KIAMIS to enable them to benefit from the government subsidy programmes.
“Formation of a multi-stakeholder Macadamia Nuts Standing Committee to deliberate on farm gate prices and develop a mechanism to determine farm gate prices to avoid farmer exploitation. This may be achieved through collaboration with county governments and the key value chain players,” he said.
CS Kagwe reaffirmed the government's commitment to empowering farmers, strengthening value chains, and ensuring global competitiveness for Kenya’s agricultural exports.
