The Kenyan government has reduced the minimum sugarcane price from Ksh5,750 to Ksh5,500 per tonne, in a step expected to lower retail sugar prices. Kenya Sugar Board Chief Executive Officer Jude Chesire issued the directive on April 24, 2026. The decision followed extensive consultations to balance farmer incomes, miller viability, and market conditions.
The Kenya Sugar Board directed all millers to adopt the new minimum price of Ksh5,500 per tonne immediately and ensure timely payments to farmers, as stated in the April 24, 2026, notice. "This is therefore to notify you that the new sugarcane price of Ksh5,500 per tonne has been approved, effective immediately. This new price is comparatively high in the region," Chesire said.
The 4th Interim Sugarcane Pricing Committee made the decision after reviewing market conditions and consulting industry stakeholders. Some millers had suggested cutting the price to Ksh5,000 per tonne due to rising costs and falling sugar prices, but the government opted for Ksh5,500 to protect farmers.
The revision coincides with higher sugar production in 2026, fueled by increased cane supply, improved factory output, and the reopening of formerly dormant state-owned factories under private management. This surplus has driven down retail prices for a 50-kilogramme bag of sugar from about Ksh7,000 to between Ksh6,000 and Ksh6,100.
Despite the cut, Kenyan farmers earn more per tonne than those in Tanzania at around Ksh4,900 or Uganda at Ksh4,500, the government noted.