The government through the Ministry of Agriculture on Wednesday set new maize flour prices across the country.
Setting the maximum retail price at Ksh75 for a 2Kg packet, Cabinet Secretary Mwangi Kiunjuri directed that the new limit should take effect immediately.
According to the CS, the current market conditions do not warrant the maize flour to retail at a price higher than the set limit.
Kiunjuri noted that favourable weather and government efforts including subsidies had led to a bumper harvest.
"The normal annual production has raised from 34 million to 40 million bags. The upcoming short rains will see another 6 million bags produced bringing the total production in 2018 to 46.9 million," the CS revvealed.
The Ministry of Agriculture acknowledged that a packet of the commodity was currently retailing at between Ksh82 and Ksh100.
"The millers are selling a bale of flour at between Ksh700 and Ksh800 translating to a wholesale price of Ksh65 per packet.
"It is disappointing and unfortunate that this benefit is not being passed to the consumer," Kiunjuri expressed concern.
In 2017, the government set the price of a 2Kg packet at Ksh90 after a Ksh6 billion subsidy.
"The Government will not allow traders to exploit the consumers and a necessary action will be taken even as we appreciate it is a free market," the CS warned.
In mid-September, small-scale millers who control 70 per cent of the milling business had threatened to hike the maize flour price following the introduction of VAT fuel.
