An expose has revealed that some of the dealmakers under the Sh90 maize flour scheme might have illegally acquired over Sh8 Billion of taxpayers money.
An analysis of a report released by the national statistician showed that the Government might have paid importers at least Sh27 billion for 7.5 million bags that they imported from Mexico.
The Government paid importers Sh3,600 for each bag of maize and sold the same to millers at Sh2,300, this is Sh3.2 billion more than the Sh6.5 billion allocated to the programme in May 2017.
Moreover, 2.5 million bags, more than the five million bags were less than those the Ministry of Agriculture had stated were to be covered through the duty-free import of white maize that might have been sneaked into the country.
[caption caption="A shop attendant arranging Maize flour "]
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Data in the Kenya National Bureau of Statistics (KNBS), showed that raw maize valued at Sh27.6 billion was imported into the country between April 2017 and September 2017, to ease the steep rise in the price of flour.
However, according to The Standard, documents in their possession revealed that maize valued at Sh19.6 billion was to enter the country through the duty-free window.
Under this window, private individuals and agencies were allowed to import five million bags of non-GMO white maize, and 22 animal feed manufacturers licensed to import 450,000 tonnes of yellow maize valued at Sh10 billion.
This means that under the duty-free regime, the country should have imported yellow maize valued at Sh3.6 billion and white maize valued at Sh16 billion which totals to Sh19.6 billion of imported maize.
However, data from KNBS showed that maize valued at Sh27.6 billion came into the country, reflecting Sh8 billion more than what was supposed to be imported.
Shoppers scrambled for the Sh90 maize flour ahead of the anticipated surge in prices next week following the expiry of the six-month Government subsidy on December 31, 2017.
[caption caption="The price of maize flour in a supermarket"]
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The cost of the 2kg packet will likely push up to at least Sh110, as forces of demand and supply see the retail price differ in outlets.