County seeks to oversee sharing of coffee fund

A coffee farmer at work in his farm. Photo: [File]

The Sh3 billion Cherry Advance Fund should be channeled to the farmers through county governments as a consolidated fund, according to Nyeri Finance CEC Robert Thuo. The county executive said it will make the work of the national treasury easy.

Thuo, who is also a member of the Coffee Sub-Sector Implementation committee, said counties have the ability and capacity to manage the money prudently.

The CEC said they agreed with farmers that the money is set aside for subsidies also be channeled to counties in form of conditional grants. The money is given out by the national government in terms of fertiliser and input subsidies.

“From there we shall manage it from the counties and disburse it to the farmers. We shall identify what is right for the farmers,” he said. “We have realised that we are buying blanket fertilisers, which may not necessarily be the right fertilisers for those particular counties or sub-counties.”

The county governments, he observed, should invest in soil scanners so as to test the PH of their soils and recommend what should be done to improve the soil's PH.

Giving counties the money, he said, will enable them to buy inputs that are customized for those particular counties.

He spoke during the task-force meeting with farmers at YMCA hall in Nyeri town.

Farmers were supposed to interrogate the policy formulated by the task-force and come up with views that will be put together before a validating workshop is held.

The committee was appointed by President Uhuru Kenyatta to look into coffee issues through the Coffee Sector Implementation Committee chaired by Professor Joseph Kieyah.

Kieya was also present during the meeting.

The committee is tasked with looking for ways of reviving the coffee sector.

“Interestingly, the industry has been run for all those years without a coffee policy. That has been a very big error,” said Thuo.

Through the committee, he said, coffee regulations have been developed adding that they are now in the process of developing the coffee exchange regulations, which have already been forwarded to the treasury.

The other regulations have already been gazetted which means they have already gone through the senate, parliament and the relevant organizations and institutions.

The meeting was attended by farmers, cooperative societies and factory leaders.

It was also meant to get the views of farmers on the Sh3 billion the president directed the treasury to set aside for the farmers.

“We want to hear the opinion of the farmers on what they want before the money is released. The money is intact in treasury but going by the Public and Finance Management Act you cannot just release money of that type anyhow,” he said.

The draft regulation has been drafted and forwarded to the treasury with Thuo expressing hope that the CS for Treasury will fast-track the process and ensure the regulations are taken through the due process so that the disbursement of the money can be executed.

Distribution channels

“The very important thing we need to look at when this money is being disbursed is what criteria we shall use to disburse this money,” he added.

He said there are many factors to consider, which include the population, tree census, production among others adding that farmers are expected to come up with ideas.

He also said there is a need to come up with mechanisms to recover the money as it will be given out as a loan and paid back at three percent interest.

“So, farmers will be given the Cherry Advance Fund and then recovered based on the cherry that the farmer will have produced and delivered,” he said adding that it is on that basis that the farmer will be given the money.

Thuo said stakeholders are still debating on all these issues.

The member said the committee is working in three teams and expect to complete its work in the next 20 days before calling for a validation workshop and collate all the views and take the improved policy to the next level.


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