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Senate Agriculture Committee Urges Government to Settle Sh 1.3 Billion Owed to Kenya Seed Company

The Senate Committee on Agriculture has appealed to the national and county governments to urgently settle outstanding debts owed to the Kenya Seed Company, warning that delayed payments are threatening the operations of the state-owned enterprise.

Committee Chairperson Senator Wafula Wakoli disclosed that the national government owes Kenya Seed a substantial Sh 1.3 billion. 

The debt originates from a subsidy programme that reduced the cost of maize seed to support smallholder farmers—funds that have yet to be reimbursed to the company.

“If we expect this company to continue supplying quality seed to farmers at affordable rates, then the government must play its part. That means paying what it owes,” said Senator Wakoli.

In addition to the national debt, Wakoli siad county governments owe millions of shillings for maize seed supplies distributed to farmers under various local programs.

Kenya Seed Managing Director Samy Chepsiror reported that the company’s production forecast for the year stands at approximately 40 million kilograms of maize seed.

“We want to assure our farmers that we have sufficient maize seed to meet the country’s demand for the upcoming planting season,” said Chepsiror.

The committee also urged relevant government agencies to intensify efforts to combat the proliferation of counterfeit seeds, which threaten agricultural productivity.

“KEPHIS and security agencies must ensure all individuals involved in the fake seed trade are brought to justice,” added Senator Wakoli.

Additionally, the senators were briefed on the company’s struggle to comply with a government directive to replace its asbestos roofing with iron sheets due to health concerns.

“The company needs KSh 200 million to carry out the replacement, but financial constraints have made it unfeasible. We will support their request for government assistance,” Senator Wakoli noted.

Senators Tom Ojienda, Catherine Mumma, and Alexander Mundigi also attended the meeting, which served as a platform to evaluate Kenya Seed's capacity to address ongoing operational and financial challenges.

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