Kenya’s agricultural landscape is undergoing a remarkable transformation, thanks to the implementation of the Guaranteed Minimum Return (GMR) programme under the Bottom-Up Economic Transformation Agenda (BETA). This government-backed initiative is offering a safety net to farmers by ensuring stable and predictable incomes, cushioning them against market uncertainties and exploitation by middlemen.
Speaking at the Kenyatta International Convention Centre (KICC), Government Spokesperson Dr. Isaac Mwaura emphasized that GMR is a critical component of President William Ruto’s pledge to place more money in the pockets of ordinary Kenyans through production-led subsidies. “GMR is a true realization of the ‘pesa mfukoni’ promise. It empowers the farmer through consistent returns,” he stated.
The strategy has brought notable gains across various agricultural value chains. For instance, macadamia farmers are celebrating a historic price increase—from Sh24 to Sh100 per kilo—making Kenya one of the top global producers of the nut. This upward trend is attributed to structured production support and strategic export market scheduling facilitated by the state.
Coffee growers, too, have witnessed a sharp rise in their earnings. Dr. Mwaura noted that with the introduction of the Coffee Cherry Fund and the digitization of payments through M-Pesa, coffee prices have surged from Sh50 to Sh130 per kilo. This initiative has restored hope among farmers previously discouraged by low earnings and mismanagement in the sector.
Dairy farmers are another group reaping benefits from the GMR policy. The price of milk has improved from Sh37 to Sh50 per litre, significantly raising daily income levels for thousands of households involved in milk production. This steady growth points to renewed confidence in the agricultural sector and its sustainability.
In the sugar industry, the impact is equally evident. Sugarcane farmers are now earning Sh5,300 per metric tonne, a notable improvement from the previous Sh4,500. In addition to better prices, the government has facilitated debt write-offs and offered production support, translating into bonus payouts for farmers in sugar-growing zones.
Miraa farmers, who previously suffered from price fluctuations and restricted market access, are now enjoying record earnings. Grade one miraa prices have nearly doubled from Sh700 to Sh1,300, with similar gains reported in grade two and Alele grade varieties. These gains illustrate how GMR is revitalizing even previously neglected cash crops.
Tea, one of Kenya’s leading export commodities, has also been prioritized in the GMR strategy. The government has encouraged local value addition to reduce dependency on raw exports, allowing farmers to earn more through processed tea exports. This move has improved revenue streams and strengthened Kenya’s global market presence.
Additionally, the country has emerged as Africa’s top exporter and producer of avocados. This success has been driven by targeted policy support, enhanced market access, and quality improvements—all stemming from the GMR framework and BETA’s emphasis on agricultural modernization.
The government has also expanded focus to emerging sectors such as leather processing. The promotion of leather tanneries and local manufacturing, especially school shoe production, has created a new market for livestock farmers while generating jobs. “The leather sector is booming, and this is part of our strategy to anchor industries in rural production,” said Mwaura.
The cumulative impact of these interventions showcases the effectiveness of the GMR programme as a tool for economic empowerment. By guaranteeing fair returns and providing strategic policy support, the government is restoring dignity to farming, fueling rural development, and building a resilient, food-secure economy from the grassroots up.
