Kenya’s vibrant cooperative sector will gain immensely if the promise by President-Elect William Ruto to reduce the price of fertilizer is implemented.
While speaking in Meru over the weekend, Ruto hinted at a possible reduction of fertilizer price from the current Ksh.6,500.
“I have had meetings with those at the Ministry of Agriculture and we will announce the reduced fertilizer prices by next week,” he stated.
The price of fertilizer has remained a nightmare for many farmers and has been cited as the reason behind Kenya’s dwindling yield.
During his campaign, Ruto vowed to lower the prices of farming products once elected. He pledged to lower fertilizer prices from Ksh.6,500 to Ksh.2,500.
Once effected, it will cost less to produce and this will translate to improved productivity and returns for the farmers.
This will in turn see improved deposits on Saccos hence improved balance sheet for agriculture-based Saccos.
According to the Sacco Supervision Annual Report 2021, majority of Sacco members were domiciled in the 49 agricultural based deposit taking Saccos which accounted for 46.79 per cent membership in 2021.