The aftermath of the perceived fall out between President William Ruto and his Deputy Rigathi Gachagua has resulted in the latter’s allies reading mischief in the budget estimates allocation for the coffee sub-sector reforms.
The absence of the allocation in the budget estimates 2024/2025 has led to speculations that the coffee sub-sector is being set to fail so that the second in command, whose docket falls under, can carry the blame. The fears by the MPs supporting Gachagua have been compounded by the fact that Kiharu MP Ndindi Nyoro is the chairperson of the National Assembly Committee on Budget and Appropriations committee.
Gachagua was tasked by the Head of State to oversee coffee sector reforms spearheaded by the Coffee Sub-Sector Reforms Implementation Standing Committee vide the Executive Order 1 of 2023 on January 9 last year. The MPs led by James Gakuya (Embakasi North) Geoffrey Wandeto (Tetu) and Geoffrey Ruuku (Mbeere North) and Nyeri Governor Mutahi Kahiga read mischief in the absence of the allocation in the budget estimates.
“There is a proposal to waive Sh117 billion debt for sugarcane millers but that has not been the case in our area which is a coffee growing region,” Wandeto said. On his part Gakuya wondered ‘It seems some regions are being favoured while our region is being sidelined and we would like to know whether it is a scheme to make our Deputy President and our Mt Kenya region leader to look bad.’
Governor Kahiga said when realized that the coffee subsector had zero allocation, he personally enquired from the President who is in America for an official State Visit saying he explained to him that there was no cause for alarm.
“I wanted to know the nexus between zero allocation, Gachagua and the Budget chairperson and the President informed me that the allocation for the coffee would be approved by the Cabinet,” Kahiga said
Githunguri MP Gathoni Wamuchomba said while the government promised to pay farmers Sh80 per kilogram, the promise was yet to be actualized, a move she noted has exposed farmers to untold suffering.
“My coffee famers from Githunguri are struggling to pay for education bills for their school going children because since last year, they have not received any payments. Government should explain to them why they are yet to receive money despite introducing the Direct Sale System,” the Mp wondered.
The leaders wondered how coffee was not covered in the budget estimates while revitalization programs in cotton, miraa coconut, quelea management got Sh150 million, 126 million, Sh90 Million and Sh50 million respectively. “Is this an extension of a scheme that we saw two weeks ago where he was denied a chopper to assist him to go and plant trees in Bomet? These questions should be responded to,” Gakuya posed
This comes even as the President during his address to Kenyans living in the United States that once he returns to Nairobi he will lead the Cabinet in approving the Sh6 billion debt write-off . “In the next Cabinet meeting, we will approve a write-off of Sh6 billion to our farmers so that we can reduce debts on coffee farming,” he said.
He said debt write-off was a shot in the arms of the ongoing coffee reforms aimed at expanding the cultivation acreage and enhancing farmer revenues. However, Cabinet Secretary for Cooperatives Simon Chelugui said he has clarified the reasons as to why the coffee budgetary allocation was missing to the leaders but accused them of playing politics with the matter.
“I have explained to the leaders in their forums that because of the expected waiver of Sh6 billion meant to settle the outstanding coffee cooperative societies debts and the extra Sh1.4 billion to settle debts for the Kenya Coffee Planters Union (KPCU) liquidation, which must be approved by the Cabinet that is why it was not factored in the budget estimates,” Chelugui explained.
He said he had reached the threshold of signatories from the required State offices which include the Attorney General, National Treasury among other offices and that once approved, the allocation will be factored in the Supplementary budget.
Other proposed allocation to revitalize the coffee sub sector reforms that are subject to Cabinet approval include Sh600 million for phase 1 of refurbishment of the New KPCU milling and warehousing facilities, Sh560 million for the construction of Eco-pulpers in the emerging coffee growing areas and Sh428 million for the scale up of production and multiplication of coffee planting materials by cooperative unions.
