Kenya’s Agriculture and Livestock Development Minister, Mutahi Kagwe, has taken a strong stand against miraa cartels accused of exploiting farmers by purchasing miraa (khat) at unfairly low prices and selling it abroad at exorbitant rates, particularly in Somalia.

During a visit to Meru County, Kagwe highlighted cases where traders bought miraa for as little as 200 shillings (about $1.50) per kilogram and resold it in Somali markets for up to 7,000 shillings ($52). He described this price disparity as “exploitative and unsustainable,” pledging government action to ensure fair pricing for farmers.

To address these practices, the Ministry of Agriculture introduced new official farmgate prices:
– Grade 1 miraa: 1,300 shillings per kilogram (up from 700).
– Grade 2 miraa: 700 shillings per kilogram (up from 350).
– Alele variety: 1,000 shillings per kilogram (up from 500).

These reforms followed a farmer-led export boycott protesting low prices. The government also formed the Miraa Pricing Formula Committee under the 2023 Crops (Miraa) Regulations to assess production costs and set fair prices.

However, some farmers in Meru’s Igembe region report challenges, as traders are reluctant to pay the new rates, leading to unsold produce and post-harvest losses. Kagwe issued a warning to non-compliant traders, stating they would be delisted as authorized buyers.

Miraa, a popular stimulant in East Africa and the Middle East, generates an estimated 13 billion shillings (approximately $100 million) annually for Kenya’s economy, with Somalia being its largest export market, followed by Israel and the Democratic Republic of Congo.