Kenya court clears duty-free rice imports as government moves to stabilise supply, support local producers
Kenya’s High Court allowed duty-free import of 254,000 tonnes of rice in 2026 to bridge supply gaps, ordering government to mop up all local stocks at market prices. Authorities reassured farmers on uptake, while investing $18 million to rehabilitate irrigation schemes to boost domestic rice production and improve food security.
KENYA – Kenya’s High Court has cleared the government to proceed with the importation of 254,000 metric tonnes of duty-free rice, even as authorities intensify measures to absorb locally produced stocks and rehabilitate key irrigation schemes to raise domestic output.
In a ruling delivered on January 29 in Kerugoya, Justice Edward Muriithi approved the phased importation of rice in three equal consignments of 85,000 metric tonnes scheduled for March, April and May 2026.
The decision followed a petition by farmers and other stakeholders seeking to block the imports over fears that cheaper rice would undermine local producers in major growing areas such as Mwea, Ahero, West Kano and Bunyala.
The court, however, held that the government had demonstrated a clear national interest in addressing a widening rice deficit and averting supply shortages.
Justice Muriithi observed that Kenya’s current production remains far below domestic demand, leaving the country heavily dependent on imports.
“There is a convergence of rights in this matter: the public interest in food security, farmers’ economic rights to fair returns, and consumers’ right to affordable, quality food,” he ruled.
To cushion farmers, the judge directed the government to purchase all locally produced and processed rice within 30 days from farmers, millers, traders and businesses across rice-growing regions, regardless of whether they are affiliated with cooperatives or Kenya National Trading Corporation (KNTC)-contracted groups.
The mop-up is to be conducted at prevailing wholesale market prices guided by the national market price index, and in consultation with farmers and traders.
“The mop-up must not be restricted to societies working with KNTC. Individual farmers and traders must also be afforded the opportunity to sell their stocks to the government,” the court said, warning that limiting purchases to farm-gate prices through cooperatives disadvantages independent producers.
Kenya consumes about 1.2 million metric tonnes of rice annually but produces less than 300,000 metric tonnes, meeting under 20 per cent of national requirements. Farmers have voiced mixed reactions, with some warning that imports could suppress prices.
“We support food security, but the government must also protect local farmers by ensuring our rice is purchased and marketed before imports flood the market,” said a farmer leader from Mwea.
Government reassures farmers on uptake of local rice
Alongside the court decision, government officials have moved to reassure farmers that locally produced rice is being fully absorbed.
During a visit to the Mwea Rice Growers Multipurpose Co-operative Society (MRGM), Agriculture and Food Authority Director General Bruno Linyiru said all rice delivered had been taken up and paid for.
MRGM Managing Director Anthony Waweru confirmed that the cooperative carried over less than one per cent of rice from 2025 into 2026, a significant improvement from nearly 30 per cent the previous year.
“As of 31st December, KNTC has paid for all rice that was delivered. Based on our projections, KNTC is ready to take up all the rice that farmers bring,” he said.
Founded in 1964, MRGM represents farmers in the Mwea Irrigation Scheme, which produces about 65 per cent of Kenya’s rice output.
The cooperative emphasised that locally produced pishori rice occupies a premium niche market and does not directly compete with imported rice, which is largely non-basmati.
Imported rice currently retails at Ksh80–100 per kilogram (about US$0.50–0.63), while Mwea pishori consistently sells at Ksh140–160 per kilogram (about U$0.88–1.00) due to its superior aroma and quality. Popular varieties such as Pishori and Komboka continue to command higher prices.
Government data shows that imports have helped stabilise prices without undermining local producers. Following the importation of 250,000 metric tonnes of rice in November 2025, retail prices declined from Ksh166–189 per kilogram to Ksh149–155, before adjusting to Ksh172–175 as supplies tightened.
US$18M to revive rice farming in the Lake region
Beyond market interventions, the government is investing in production capacity, with rehabilitation works now under way at the South West Kano Rice Scheme in Kisumu County.
The scheme has the potential to support more than 20,000 acres under rice cultivation, but only about 3,000 acres are currently in active production due to unreliable water supply.
Speaking during the commissioning of rehabilitation works at the Dajo Sub-Scheme, Lake Basin Development Authority chief executive officer Wycliffe Ochiaga said the programme will begin with the rehabilitation of a major canal stretching over 20 kilometres.
“South West Kano has several sub-schemes, and today we are at the Dajo Sub-Scheme to commission the rehabilitation of this canal. We expect the work here to take about two weeks before moving to other sub-schemes,” he said.
The broader rehabilitation programme across rice-producing areas in Nyanza and Western Kenya is estimated to cost about Ksh3 billion (US$18.8 million).
Ochiaga said KES30 million (US$188,000) has been spent at South West Kano over the past three months, mainly to support the mopping up of paddy rice, while the National Treasury allocated Ksh70 million (US$438,000) last financial year for similar interventions.
Beyond infrastructure, the programme is addressing challenges including limited market access, inadequate farm inputs and a shortage of certified, climate-resilient seeds.
“With improved water supply, better access to markets and support from our leaders, rice production in this region has already started to improve,” Ochiaga said, adding that the measures are helping reduce reliance on imports while increasing household incomes.
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Source : Milling MEA
