Maize market fluctuating as stockiest hold on to their grain piles.

April 26, 2018

The general maize grain market price has been fluctuating low in most locations in the past weeks. It appears the current rains could have a role. Transport routes are impassable and supply is regulated. Maize was quoted as low as Ugx.550-560/kg in Kiboga, Mubende and Masindi. Kampala maize price was constant at Ugx.660-680/kg depending on the day’s offer.

Busia border post regional market had maize price declining from Ksh.21/kg to Ksh.20/kg (Ugx.736/kg). Traders have since returned to this market but it is yet to catch its high momentum when volumes of grain cross to Nairobi and beyond. In the northern region the situation was similar with Lira and Gulu recording maize at Ugx.600/kg and Ugx.650/kg respectively for some time.

Kampala apparently received plenty of staples viz matooke, fresh cassava and potatoes. Apart from Irish potatoes that were very scarce rendering them very expensive at Ugx.160, 000 per bag weighing 130 kgs. Some imported Irish potato was registered from neighboring Naivasha-Kenya to catch the good price in Kampala and its suburbs.

The demand for charcoal is gradually increasing in most urban and peri urban locations. Charcoal being the most accessible and affordable to town households for preparing meals, is increasingly demanded by town dwellers. The call for planting more trees as the community ferries wood for domestic purpose needs to be upheld. A big bag of charcoal comprised 2 polythene bags tried together costs Ugx.80,000- 120,000 depending on location. Some of the traders in this business mentioned that there was a huge demand for charcoal in neighboring Kenya. Traders have resorted to deliver lots of charcoal to Busia and cross because our neighbors have for some time been very strict on conservation of the environment with regulated tree cutting in this part of the region.

Meanwhile in the coffee sector the FAQ offer price in major buying houses dropped due to the poor quality of coffee currently on the market. The buyers talked to were concerned about the low quality of coffee offered. There is a lot of black bean and the current Out-turn is very low (OT) ranging between 48%-75%.

IBERO could only offer its regular coffee farmers in Kassanda – Mubende Ugx.4,740/kg FAQ. Other houses offered price lower and at an average of Ugx.4500/kg FAQ.

The sector, however, is very hopeful that the coming harvest will be better given the current rains. Coffee is already ripen in several locations such as Luwero, Viroobwe. In Iganga there was no FAQ coffee offered while in Masaka, Kasse/FAQ was bought at Ugx.4,000 when available. Other locations offered price as low as Ugx.3800/kg.

Some areas in Buganda/Central region have reported root rotting in beans this season. This disease was reported in Mubende and is said to have emerged from the forested areas around. It affects the roots underground and eventually the plant on top yellows and the entire plant dries up.   This will most likely reduce the volume of beans expected on the market by June.

In Kampala market, the beans price has gradually increased because of reduced supply to the market. Some yellow beans were delivered from Rwanda and cost Ugx.3,000-3,500/kg. Other stocked beans were offered at Ugx.2,300-2,800/kg depending on quality and variety.

Farmgain Africa

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