The maize grain price increased steadily during the month of February. It was influenced by several factors including the opening of the first school term, delay in the second annual seasonal harvest due to shift in the weather Pattern and also the regional demand especially from Rwanda. The grain market in Kampala registered maize at Ugx1180-1220/kg wholesale. When compared to the previous year 2024, the second harvest season arrived late, was priced twice higher and met demand for maize from Sudanese & Rwandan traders.
Other commodity prices were similarly raising due to scarcity such as beans which had been harvested much earlier in November/December. The Kampala and Busia markets received beans from the Western region especially from Hoima during February. Groundnuts were delivered from Masaka, Iganga, Soroti and from the northern region. Super rice was mainly delivered from Tanzania in a number of quality grades. A lot of super rice adulteration was done in Kampala markets.
Sudanese traders purchased maize grain in Gulu city, however, the market there received beans from Hoima. Rural stockists continue to hold on to their crops as they speculate for higher prices towards planting time. Yellow beans were highly priced especially in Gulu at Ugx.4500/kg at the close of the month.
Reduced maize grain purchase was registered at Busia regional produce market during the month of February. As the grain purchasing price increased in the production locations, maize was offered at a higher price at Busia border market rendering Ugandan maize grain more expensive compared the Tanzanian supply to Kenya via Sirari border point. Volumes delivered to Kenya via Busia Border declined to 300-400Mt daily formally via the Main gate and an estimated 100-200Mt informally via the porous border. Good quality maize was offered at Ksh.42/kg (Ugx1190/kg).
Low supply of beans was reported at Busia border market destined for the Kenyan market. Instead beans supply was registered from Ethopia via Kenya to Busia border market and sold inland as far as Teso sub-region. Some yellow beans from Uganda cost Ugx.3648-3705/kg (Ksh.128-130/kg) while Nambale cost Ugx.3080. Other commodities demanded by the Kenyan traders during the month included sorghum, millet, cassava, G/nuts, green grams, simsim and soya beans. Irish potatoes were also delivered at Ugx.70,000-90,000 per sack weighing 85-90 kilos.
Mid-month, Kampala markets received beans from Tanzania appeasing the raising beans prices then. Yellow and Nambale beans from Tanzania cost Ugx.3500/kg wholesale. The transit traders from Tanzania also delivered other commodities like Super rice at Ugx.3400-3600/kg, white and red sorghum at Ugx.900/kg and Ugx.1100/kg, dry cassava chips at Ugx.500/kg, red beauty groundnuts at Ugx.5000/kg and Simsim at Ugx.5500/kg from Malawi via Tanzania.
In the Sunflower market especially in the northern region, the market price increased to as high as Ugx.2200/kg of Hybrid seed while local at Ugx.1900-2000/kg, however, the purchasing price declined to Ugx.1600-1500/kg Hybrid seed and Ugx.1400-1300/kg. Locally pressed oil cost Ugx.7000-8000/litre. More production is expected given the high seasonal closing price last season. More farmers are preparing their garden for this year’s planting season.
Farmgain Africa