Kagwe said about 63 per cent of Kenya’s arable land is acidic, with nearly seven million acres classified as strongly acidic, making soil testing critical to improving agricultural productivity.
Kagwe said Lamu, Tana River, Kwale, Kilifi and Taita Taveta could raise output of cassava, cotton, milk, meat, cashew nuts and other agricultural products by three or four times.
Presentations at the conference showed that Brazil has replaced more than four billion barrels of gasoline with ethanol, with ethanol-based fuel remaining cheaper than conventional petrol. Deputy President Kithure Kindiki, who also attended the seminar, said the government will review the Sugar Act and related regulations to formally support ethanol production within Kenya’s legal and economic framework. He added that the government will work with the Energy and Petroleum Regulatory Authority to develop fuel blending regulations. Kagwe defended ongoing reforms under the Sugar Act 2024, saying leasing state-owned sugar factories to private investors has already improved efficiency and increased farmer earnings. “We have discovered that the private sector is a much stronger player, a much more efficient player in the sugar sector than the government sector,” he said. He added that the government has already seen “immediate benefits” within the last year after some public mills were leased to private operators. At the same time, Kagwe stressed that farmers remain central to the reforms, noting that more than six million Kenyans directly or indirectly depend on the sugar industry for their livelihoods. “The farmer is the most important person in the sugar sector, and I say this without any fear of contradiction,” Kagwe said. The government says expanding ethanol production will help reduce Kenya’s dependence on imported fuel, strengthen energy security and create more stable income opportunities for farmers amid volatile global oil prices.
Speaking during International Tea Day celebrations in Kericho County, Kagwe urged tea stakeholders to stop “wasting millions in unnecessary litigation” and instead engage the government through dialogue over the reforms.
Under the new framework, dairy cooperatives and processors will be required to keep detailed records showing milk origin, volumes supplied by farmers, and movement through collection and processing stages. The aim is to build a more controlled and transparent system.
Appearing before the Parliament of Kenya Departmental Committee on Agriculture and Livestock during discussions on the ministry’s Sh79.06 billion 2026/27 budget estimates on Tuesday, Kagwe said the levy would fund modernization and position Kenyan tea as a premium global product.
New figures contained in the 2026 Economic Survey show maize imports increased by 51.4 percent to 468,109 metric tonnes in 2025, reversing two consecutive years of decline.
Kagwe placed macadamia processors on notice, directing them to purchase all locally produced nuts at the government-set minimum price of Sh100 per kilogram, while warning that failure to comply could prompt a policy reversal allowing raw in-shell exports.
Speaking during the official release of the 2025 Kenya Tea Industry Performance Report at Rukuriri Tea Factory in Embu County, Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe said the sector had firmly returned to a growth path despite global economic pressures.
Kenya currently consumes approximately 600,000 metric tonnes of edible oils annually, but more than 90 to 95 percent of that demand is met through imports. Government figures show the country spent more than Sh145 billion on imported edible oils in 2022 alone, a cost officials say can be significantly reduced through local production.
The new plant includes a modern laboratory equipped for mycotoxin analysis, forage testing, shelf-life assessment and real-time raw material screening using Near-Infrared Reflectance technology.
The Government committed to release Sh1 billion within the next two weeks to ease the workers’ immediate financial hardship, with the balance of the arrears to be settled through the Supplementary Budget and subsequent budgetary allocations, subject to parliamentary approval.
Kenya currently produces only about 20 per cent of its annual rice requirements against a local demand of roughly 80 per cent. This translates into an estimated annual deficit of about 800,000 tonnes, with total national demand exceeding one million metric tonnes.
The CS said the government’s first option remains buying maize from local farmers to build the National Strategic Food Reserves but cautioned that imports would be unavoidable if sufficient stocks are not delivered within 30 days.
Agriculture Cabinet Secretary Mutahi Kagwe said the proposed measures are intended to ease cash-flow pressures, unlock reinvestment, and address long-standing concerns by exporters over delayed VAT refunds and high levies that have constrained growth.
The Cabinet Secretary cautioned that efforts to collapse veterinary medicines regulation into a human medicines authority, through bills under consideration at both national and regional levels, run counter to Kenya’s obligations under the East African Community (EAC) and COMESA frameworks.
In a statement on Monday, the KTDA Board said the recruitment process has already attracted 50 applicants, including five internal candidates drawn from the organisation’s senior leadership ranks, among them serving managing directors and general managers.
Agriculture and Livestock Development CS, Mutahi Kagwe said the move was informed by the heavy toll of previous droughts, which he noted had killed more than 2.5 million livestock and caused economic losses exceeding Sh50 billion, particularly in Arid and Semi-Arid Lands (ASAL) counties.
Speaking during a church service at ACK St Paul’s Church in Kariki, Othaya, Nyeri County, Kagwe cautioned that the region risks weakening its political influence by repeatedly turning against its own leaders rather than nurturing and retaining them.
Agriculture CS Mutahi Kagwe told Parliament that private leases of four state sugar mills will modernize production, protect farmers, and see all investments revert to government after 30 years.
During the meeting, Kagwe raised concerns about the widening trade gap, pointing out that Kenya bought goods worth about USD 4.5 billion (Sh581.5 billion) from China in 2024, while its exports to the Asian nation were valued at only USD 290 million (Sh37.5 billion). Most of the exported produce consisted of raw agricultural items, mainly tea and avocados.
Appearing before the Senate on Wednesday, Kagwe said the leasing plan—already outlined in a Cabinet Memorandum he submitted—enjoys the full support of PPCK employees, who believe private-sector participation is essential to reviving the once-vibrant subsector.
The forum, chaired by Agriculture Cabinet Secretary Mutahi Kagwe, brought together representatives from the National Treasury, the Council of Governors (COG), the Kenya Revenue Authority, and sector regulators.
MACNUT attributed the turnaround to decisive action by the Government of Kenya, particularly the Ministry of Agriculture and Livestock Development, which introduced and enforced a floor price for macadamia nuts.
Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe urged the counties to align their interventions with national programmes aimed at unlocking the full potential of the livestock economy.