Bread Prices to Soar as Kenya's Grain Import Deadlock Continues
Kenyan consumers face an imminent price hike for wheat flour, bread, and chapatis due to bureaucratic delays in importing critical grain supplies. The Cereal Millers Association (CMA) has warned that protracted delays in issuing C60 import approvals are inflicting massive financial losses on the food supply chain.
The crisis highlights the fragility of Kenya's food security architecture. Despite robust local harvests, the nation remains dependent on global commodity markets, importing over 80% of its annual wheat requirement from volatile regions like the Black Sea and Australia.
At the center of the dispute is the C60 document, a government control mechanism that grants approved millers the authority to import foreign wheat at zero or subsidized tariffs. However, the Agriculture and Food Authority (AFA) has delayed signing C60 approvals, leading to demurrage penalties, port congestion, and financing costs.
The CMA has petitioned the government to prioritize all wheat consignments currently stranded at the port and reform the approval process. If the deadlock persists, millers will be forced to buy grain on the spot market at premium rates, further driving up prices for consumers.