New beans harvest as maize price stabilizes.

September 26, 2017

For the last two weeks the maize price has generally been stable. Kisenyi dry market in Kampala quoted maize at Ugx.950/kg. There were a number of reasons given to try and explain the situation including the reopening of the third and last term this year. The hoarding of stock piles of grain in the rural areas, the presence of scattered above normal/abnormal rainfall in several locations, the increased number of traders in the grain business this year. The list is endless.

Supply in Kampala was recorded from all production locations but most outstandingly from Kibaale, Kisiita, Hoima, Mubende, Masaka and Busoga region. Grain business was slow and this affected the market price especially towards the weekend rendering the price even lower to Ugx.930/kg in Kisenyi market. The maize flour price was equally affected low to Ugx.98,000/ 50kg sack while grade one and half at Ugx.88,000/ 50kgs bag. In Mubende the same quality was offered at Ugx.95,000 and Ugx.90,000/50 kg bag respectively.

Several traders bought maize in Mubende at Ugx.880-900/kg and reported slow trading. In the neighboring Kamwenge, maize was offered at Ugx.900/kg. Traders were stranded with stock piles of maize in this area after having bought it expensively in anticipation of better margin in reference to the previous year 2016 profit margin when it shot to Ugx.1000/kg at farmgate level.

The second year’s harvest is expected big and at different times because of uneven distribution of rainfall and increased number of farmers fell back to cultivating maize and beans due to big margins exhibited during last year crop. Unfortunately like expected it will be characterized with low price thus sending many out of business. 

Maize has been reported coming from Kenya to Uganda via Busia. Harvesting in western Kenya started especially in Kitale the centre of maize production in Kenya. The maize from Kenya was still highly moisten and cheaper than the Ugandan maize. Kenyan maize was offered at Ksh.26/kg (Ugx.916/kg) while that from Busia Uganda at Ksh.29.5/kg (Ugx.1,020/kg). Apparently traders have been busy ferrying maize from Kenya and mixing it with the Ugandan maize and delivering it back.

Preference in taste was the varying factor affecting price. Ugandan maize tastes better for communities that especially take it whole in their local dishes such as “Githeri” a maize and beans mixed meal.  Very low grain trading was reported throughout especially from Uganda to Kenya.  An estimated 4.5-12 MT were traded daily in the past fortnight.

Millet was highly demanded by a factory in Kenya and for the last 3-4 days a lot of it was loaded and delivered to Kenya at averagely Ksh.52/kg (Ugx.1,799/kg). Yellow beans were bought at Ksh.84/kg (Ugx.2,906/kg), Short Nambale beans at Ksh.68/kg (Ugx.2,352/kg), Red beans at Ksh.64/kg (Ugx.2,214/kg) and mixed beans at Ksh.57/kg (Ugx.1,972/kg). Other commodities demanded were Soya beans at Ksh.38/kg (Ugx.1,314/kg), Sorghum at Ksh.26.5/kg (Ugx.916/kg), green grams at Ksh.55/kg (Ugx.1,903/kg), groundnuts at Ksh.145/kg (Ugx.5,017/kg) and Simsim at Ksh.129/kg (Ugx.4,463/kg)  

Harvesting of new beans was reported in Masindi. Yellow beans were preferred and slightly expensive at Ugx.2100/kg wholesale price while other varieties at Ugx.2000/kg. Other commodities currently harvested included fresh cassava at Ugx.120,000-180,000 per sack weighing 280-300kilos. Sweet potatoes were equally cheap at Ugx.80,000 per sack weighing 200kgs.

Farmgain Africa   

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