Kenyan Khat farmers suspend exports to Somalia

NAIROBI, Kenya - The Khat market in Somalia is experiencing a slowdown after farmers in Kenya suspended exports, following the decline in prices, with the group now demanding $3 per kilogram and at least $1550 per sack of the product which is predominantly grown in central parts of Kenya.

In Mogadishu, the farmers argue, a kilogram of Khat goes even at $50 but despite these fortunes, exporters insist on giving them $3 per kilogram a move they say is both exploitative and demeaning leading to the acute imbalance.

Intermediaries, they said, are the greatest beneficiaries of the imbalance which threatens the stability of the market. The Khat association wants the imbalances to be fixed as soon as possible for posterity.

"We cannot sustain farming under these conditions when everyone in the supply chain profits except us," said Karuiru, chairman of the Kenyan Khat Farmers Association.

"He stressed that the cost of transporting khat to Mogadishu surpasses Ksh 3,000 ($27) per kilogram, yet farmers struggle with razor-thin margins. "All we're asking for is an additional Ksh 1,000 ($8) per kilogram to secure a fair deal."

The standoff's impact is already felt in Somalia, where traders accuse the government of maintaining policies that favour select importers while leaving local sellers to grapple with soaring costs. In mid-January, Somali female traders staged protests in Mogadishu against high taxation on Kenyan khat, claiming it was eroding their profits.

Already, the Kenya Agriculture and Food Authority has acknowledged the plight of the farmers, vowing to consult stakeholders for further actions. Mogadishu, the agency adds, will have to intervene and fix the imbalance.

Adding another layer to the controversy, Kenyan farmers point to an illegal levy of USD 4.5 per kilogram allegedly imposed by a "cartel" at Jomo Kenyatta International Airport (JKIA). The hidden cost, they said, undermines the Khat farming in the country.

GAROWE ONLINE