Maize Millers from the country qre yet to be paid by the Kenyan government on subsidies that were inducted by the government for a duration of one month last year.
Through the Cereal Millers Association (CMA) now want the Treasury to settle the arrears arguing that some 1,207 invoices from the millers have already been verified to ascertain the authenticity of the sales. The millers futher stated that they hadsold flour worth KES 4.34 billion but were paid only KES 1.76 billion, leaving an outstanding balance of KES 2.57 billion.
In the subsidy deal, the government signed contracts with 129 maize millers, including 27 members of the CMA, as part of its efforts to cushion consumers against the high price of maize flour.
The subsidy was introduced amid a significant increase in the cost of maize flour which was primarily due to the severe drought that impacted the East Africa region affecting local maize production.
However, the subsidies were scrapped in the current regime, with the government arguing that the economy is operating at a flight mode which resulted to the suspension of subsidies on fuel, electricity, and food to ensure that scarce resources are directed towards priority areas of socioeconomic transformation while ensuring that debt levels are sustainable