The Ministry of Investments, Trade and Industry has hiked farmgate prices of cotton by 25pc with immediate effect.
Farmers in cotton-growing areas will now be paid Ksh 65 for a kilogram of cotton from the current Ksh 52 per kilogram by ginneries in the country.
According to Industry Principal Secretary Dr Juma Mukhwana, the new prices will ensure the country increases production of the cash crop whose current annual production stands at 6,779 bales against a demand of 100,000 bales.
“These prices will take effect immediately in all cottong-growing regions in the country. It is envisaged that this increment coupled with revamped extension support will make the farmers upscale production for the country to attain its goal in cotton production,” said Dr Mukhwana.
In a bid to cut textile import bill valued at Ksh 1.7 billion, the ministry says it is working with 24 counties which produce cotton to buy and avail more seeds to farmers beginning next year.
This is expected to increase acreage under cottong cultivation from the current 40,000 acres to 100,000 acres.
“I want to encourage all farmers to take advantage of this price increase and support from extension officers to grow more cotton needed to fully revive the once vibrant ginning, spinning and weaving and garment industry in Kenya,” he added.
Kenya currently has seven operational ginneries with three more to be built in Homabay County, Lamu County and Kwale County through public private partnerships.