National Cereals and Produce Board (NCPB) has received Sh147 million from the government to pay farmers for 2017/18 maize deliveries.
The cash will be used to pay 68 farmers who were cleared by Ethics and Anti-Corruption Commission (EACC) but had not been paid for what they delivered to the board.
“We are now working on the modalities on how to disburse the money to the farmers and the payment exercise will start as soon as possible,” NCPB managing director Joseph Kimote said in a statement yesterday.
In addition, he added, the board is expecting a further Sh384 million to pay 21 farmers who have also been cleared by EACC, but have not yet been paid for maize deliveries during the same season.
Agriculture Cabinet secretary Peter Munya last year said the board requires Sh7.6 billion to bail it out from its current financial woes.
He said NCPB currently undergoing restructuring requires adequate resources and more so to enable it recruit more staff, infrastructure development and cleaning of its balance sheet.
The agency is owed by the national government and various government agencies among others Sh18.1 billion.
The board recently started buying maize from farmers at Sh2,500 for a 90kg bag.
Kimote said all farmers who deliver grain that meet the required quality standards are promptly paid, with payment being done within 24 hours upon delivery.
“We are therefore encouraging farmers to bring in their maize to NCPB and get value for their crop.
Besides buying maize, NCPB is offering grain post-harvest services grain drying, Warehousing, Warehouse Receipt Syste, weighing, aflatoxin testing and fumigation,” he added.