Four years into President William Ruto’s administration, farmers across Kenya’s major agricultural value chains are beginning to see changes in prices, payment systems and market access, although the benefits remain uneven.
Data covering coffee, tea, sugarcane, dairy and cotton shows that average commodity prices paid to farmers increased between 2022 and 2025 in several sectors. However, farmers continue to contend with high production costs, inadequate markets, infrastructure challenges and inconsistent returns.
Coffee has emerged as one of the strongest examples of the government’s efforts to improve farmer earnings, particularly through changes to payment and marketing systems.
When President Ruto took office, some coffee farmers were receiving between Sh50 and Sh60 per kilogramme. The President said in June that payments had increased to as much as Sh158 per kilogramme in some factories, although he wants the figure to rise to between Sh250 and Sh300.
“Farmers used to wait for months before being paid. We have agreed now that farmers should get their money within five days. That is a must; we are not begging anyone,” Ruto said.
The Direct Settlement System is intended to ensure farmers receive their proceeds within five days of sale, with the government targeting a minimum of 80 per cent of coffee sale proceeds going to growers.
The reforms are taking place alongside increased production. Kenya produced 51,400 tonnes of coffee in the 2024-25 season, representing a 3.8 per cent increase, according to data cited from the Kenya National Bureau of Statistics (KNBS).
Coffee sales through the Nairobi Coffee Exchange have also strengthened. By Sale 29 of the 2025-26 season, farmers had sold 36.36 million kilogrammes of clean coffee worth $247.62 million, equivalent to about Sh31.94 billion.
That compares with 31.33 million kilogrammes valued at $216.44 million, or Sh27.92 billion, during the entire 2024/25 season.
Kericho led the counties at the exchange, selling six million kilogrammes of clean coffee worth Sh5.29 billion, almost twice the Sh2.61 billion recorded in the previous full season.
Murang’a followed with 4.96 million kilogrammes valued at Sh4.33 billion, while Nyeri recorded 4.63 million kilogrammes worth Sh4.18 billion.
In Kirinyaga, coffee farmers shared Sh7.4 billion from the latest crop, with payments ranging from Sh104 to Sh157.40 per kilogramme of cherry and averaging Sh139.
Farmer Edward Njoka, who expanded his coffee farm from one to 10 acres, harvested 46,000 kilogrammes from eight mature acres but said production remained expensive.
“My experience as a coffee farmer over the years is that it is difficult. It is not an easy task because, first of all, the cost of production is too high,” Njoka told the Star.
Marketing reforms have nevertheless offered growers another avenue for higher returns. Direct coffee sales between October 2025 and June 2026 generated an average of Sh52,400 per 50kg bag, compared with Sh43,900 at the auction.
Tea returns remain volatile
Tea presents a less straightforward picture.
Kenya’s tea production rose to 598.5 million kilogrammes in 2024 before declining to 550.4 million kilogrammes in 2025. At the same time, the average gross commodity price paid to farmers dropped from Sh29,736 per 100kg in 2024 to Sh27,806 in 2025.
The sector recorded a marketed value of Sh218.79 billion in 2025, with the government pursuing reforms around auction systems, direct sales, payment mechanisms and value addition.
Ruto said the average green leaf price had risen from Sh51 per kilogramme in 2022 to Sh64 in 2024.
However, further interventions have been necessary. In February, Agriculture Principal Secretary Paul Ronoh directed KTDA-managed factories in western Kenya to review monthly payments and pay farmers a minimum of Sh26 per kilogramme.
He also directed the Tea Board of Kenya to ensure factory clerks accused of tampering with weighing machines are arrested.
Sugar farmers see faster payments
Sugarcane farmers have experienced significant changes in payment timelines, although productivity and production costs remain challenges.
KNBS data shows the average price paid for sugarcane increased from Sh4,514 per tonne in 2022 to Sh5,437 in 2025.
Sugar production also rose sharply, increasing 72.5 per cent from 472,800 tonnes in 2023 to 815,500 tonnes in 2024. However, cane deliveries to marketing boards fell from 9.4 million tonnes in 2024 to 7.1 million tonnes in 2025.
At Nzoia, farmers say the leasing of the sugar mill to West Kenya Sugar Company has improved payment reliability.
Ferdinand Makhanu, a farmer with more than 20 years of experience in sugarcane farming, recalled a period when growers waited roughly two months to receive their money.
“It reached a point where they were paying farmers in piecemeal and it was not helping much,” he said.
He now believes the changes at the mill have made a difference.
“From what I have seen so far, I strongly believe that leasing was the best thing and I thank our President for the decision because farmers are now being paid regularly and there is money in circulation,” Makhanu said.
Nzoia CEO Sohan Sharma said more than Sh700 million had been paid to farmers through cane payments.
“We are paying the salaries on time, farmers’ weekly payments are going on. So these are all the things that we have achieved so far,” Sharma said.
Despite the improved payment system, farmers continue to face productivity challenges. A Senate inquiry found complaints over cane prices, input costs and delayed payments, with average yields in the Nzoia region estimated at 49.71 tonnes per hectare against a potential 85 to 100 tonnes.
Dairy production and prices rise
The dairy sector has also recorded improvements, supported by government programmes targeting production, breeding, animal health, milk quality and access to formal markets.
Milk production increased by 3.5 per cent to 5.5 billion litres in 2025, while marketed milk rose 11.5 per cent to one billion litres.
The average gross price paid to farmers reached Sh49.58 per litre in 2025, up from Sh47.20 in 2022. In Meru, farmers supplying Meru Central Dairy Cooperative Union were expected to receive Sh52 per litre from August, compared with Sh50 previously.
The government has also sought to lower input costs. The price of sexed semen was reduced from Sh7,000 to Sh1,400, while dairy meal at an animal feed mill in Meru was being sold at Sh2,800 per 50kg bag, down from Sh3,200.
Kindiki said the measures were intended to increase farmers’ earnings.
“This year, dairy farmers have received better incomes as a result of government subsidies on sexed semen,” he said.
Farmer Nelly Gacheri said the additional income was already helping households meet their needs.
“We can now pay school fees and do other things from the money we get from dairy farming,” she said.
During a 2024 visit to Nyahururu KCC, Ruto directed New Kenya Cooperative Creameries to raise the price paid to farmers from Sh45 to Sh50 per litre.
“Tunataka mkulima ajue kwamba akizalisha maziwa kuna mahali atapeleka na apate pesa ajitegemee,” Ruto said.
The statement means: “We want to make sure that the farmers have a ready market when they produce milk and are paid on time so that they become independent.”
Cotton farmers record higher yields
Cotton has also shown signs of recovery, with the average seed cotton price increasing from Sh5,609 per 100kg in 2022 to Sh7,200 in 2025.
Production sold to marketing boards more than doubled, rising from 3,800 tonnes in 2022 to 8,800 tonnes in 2025.
The gains have been linked to improved seed, extension services and better market support, with Bt cotton helping some farmers increase their yields substantially. One farmer in Busia reported harvesting about 800kg per acre, compared with roughly 300kg previously, while his selling price rose from Sh50 to Sh72 per kilogramme.
But the sector faces a major constraint: inadequate demand and processing capacity.
Kenya produces between 5,000 and 30,000 bales of cotton against estimated local demand of between 140,000 and more than 200,000 bales.
This means increased production will need to be accompanied by development of the wider cotton-to-clothing value chain if farmers are to enjoy sustained incomes.
Maize focus remains on input costs
For maize growers, government interventions have largely centred on reducing the cost of production, improving access to inputs and strengthening grain markets.
The subsidised fertiliser programme has been a key component, with farmers accessing fertiliser below market prices during planting seasons. The government has also sought to improve grain storage and market access while supporting the National Cereals and Produce Board.
Lower production costs, if sustained alongside better farm-gate prices, could improve farmers’ margins.
Mixed verdict four years into Ruto’s tenure
Overall, the performance of Kenya’s agricultural sector under Ruto remains mixed.
Coffee has recorded some of the most notable gains in payments and market access, while sugar farmers have benefited from more regular payments and changes in mill operations.
Dairy production and farmer prices have also improved, while cotton is showing potential through increased yields and better prices.
Tea, however, remains a challenge, demonstrating that increased production and export earnings do not automatically guarantee higher or more predictable incomes for farmers.
The emerging picture is therefore one of progress alongside unfinished reforms, with the ultimate test being whether improvements in production, payments and markets can translate into consistently higher and sustainable incomes for farmers.
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