wazua Fri, Jan 10, 2025
Welcome Guest Search | Active Topics | Log In | Register

2 Pages12>
Does it make any sense...
selah
#1 Posted : Monday, August 08, 2011 10:14:06 AM
Rank: Elder


Joined: 10/13/2009
Posts: 1,950
Location: in kenya
I have been watching the news and today I am looking at a pic of cattle carcasses that were bought by KMC in the Govt cattle offtake scheme.

Does it make sense to the economy when a govt buys cattle that is dying then transport it to Nairobi to obviously bury it.

Another thing that does not make sense is when a free market depends on the Govt purchasing power to dictate its future i.e why should a Maize farmer solely depend on the govt to bail him out once he harvest his crop.Cant these farmers look for other ways of making money from their harvest.

In my opinion, The Govt takes most of the responsibility when it comes to failures while other stakeholders go scot free.
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
Insurgent
#2 Posted : Monday, August 08, 2011 10:22:40 AM
Rank: User


Joined: 8/6/2010
Posts: 594
selah wrote:
I have been watching the news and today I am looking at a pic of cattle carcasses that were bought by KMC in the Govt cattle offtake scheme.

Does it make sense to the economy when a govt buys cattle that is dying then transport it to Nairobi to obviously bury it.

Another thing that does not make sense is when a free market depends on the Govt purchasing power to dictate its future i.e why should a Maize farmer solely depend on the govt to bail him out once he harvest his crop.Cant these farmers look for other ways of making money from their harvest.

In my opinion, The Govt takes most of the responsibility when it comes to failures while other stakeholders go scot free.
You are right.


"One man gives freely, yet gains even more; another withholds unduly, but comes to poverty. A generous man will prosper; he who refreshes others will himself be refreshed." Rev Canon Karanja.

Tito44
#3 Posted : Monday, August 08, 2011 11:05:54 AM
Rank: Member


Joined: 12/16/2008
Posts: 111
selah wrote:
Cant these farmers look for other ways of making money from their harvest.



I believe that they do get do get other ways. That is why we have the current maize shortage. It is said that most of the maize harvested last season ended up in Southern Sudan.
The main concern is, why should the government import maize at far much higher prices than what the farmers are asking for? This way we will have some grain reserves, other than waiting for maize to be sold outside the country and then start the blame game.

nwamaina
#4 Posted : Monday, August 08, 2011 11:09:16 AM
Rank: Member


Joined: 3/29/2011
Posts: 102
Location: Nairobi,Kenya
What does not even make any sense futher is why wasnt there anyone who would have made products from the carcasses e.g. by products etc...from the skins and dried up meat etc
Mpenzi
#5 Posted : Monday, August 08, 2011 11:17:43 AM
Rank: Veteran


Joined: 10/17/2008
Posts: 1,234
Tito44 wrote:
selah wrote:
Cant these farmers look for other ways of making money from their harvest.



I believe that they do get do get other ways. That is why we have the current maize shortage. It is said that most of the maize harvested last season ended up in Southern Sudan.
The main concern is, why should the government import maize at far much higher prices than what the farmers are asking for? This way we will have some grain reserves, other than waiting for maize to be sold outside the country and then start the blame game.



How much is imported maize per 90kg bag? You might even find that imported maize might be cheaper than Kenyan-grown maize as is the case with imported sugar.
accelriskconsult
#6 Posted : Monday, August 08, 2011 11:18:41 AM
Rank: Member


Joined: 4/2/2011
Posts: 629
Location: Nai
selah wrote:
I have been watching the news and today I am looking at a pic of cattle carcasses that were bought by KMC in the Govt cattle offtake scheme.

Does it make sense to the economy when a govt buys cattle that is dying then transport it to Nairobi to obviously bury it.

Another thing that does not make sense is when a free market depends on the Govt purchasing power to dictate its future i.e why should a Maize farmer solely depend on the govt to bail him out once he harvest his crop.Cant these farmers look for other ways of making money from their harvest.

In my opinion, The Govt takes most of the responsibility when it comes to failures while other stakeholders go scot free.



The general idea is that the government ought to create an outlet for absorbing excess supply from the system hence making the prices of food stable and predictable to farmers. The desired measures would include creating strategic food reserves for the common staple items such as maize, beef, fish, goat meat, pork, potatoes and chicken. with the exception of maize, the government would need to build huge cold storage facilities and create a facility for mopping up excess supply. The mechanism should work the same way the the Monetary committee of the central bank works in controlling inflation. The advantages are obvious and including the following;
(1) Removal of price shocks for agricultural products. stable prices would encourage more investors into farming.
(2) Provision of food safety during years of shortage
(3) Enhancement of national security. Hungry minds are a threat to national security
(4) Potential for creation of a commodities exchange anchored on the national food reserves (think of it as a food bank)

My 2 cents
selah
#7 Posted : Monday, August 08, 2011 11:33:21 AM
Rank: Elder


Joined: 10/13/2009
Posts: 1,950
Location: in kenya
IMHO,I think the govt does not import maize, it waives the importation tax once locally produce maize become too costly such that the millers end up raising the prices of their produce.

I think the problem with this country is lack of a proper distribution network such that farmers have no power or know how of how to exploit the available channels of distribution to get full value for their products.

Building strategic storage facilities for consumer goods that are produced in plenty I think is a waste of resources

cooperative movement is the only vehicle that can help farmers in North Eastern and Riftvalley get value for their produce. This cooperatives can have a higher bargaining power than individual farmers.

'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
bwenyenye
#8 Posted : Monday, August 08, 2011 11:58:53 AM
Rank: Elder


Joined: 5/24/2007
Posts: 1,805
Good People,

It will never make sense for the government to waste money buying dying cows. The probelm we are having in North eastern Kenya is that of trying to sustain an impractical lifestyle and culture among the Turkana et al. Their lefstyle breeds laziness and they need to change as their land reduces. Unless we change their outlook of life, we can always count on a next round of help next year. The regions problem is not lcak of food, but lack of a means to acquire it.

I can assure you that if they had the means to buy the maize,or grow it, there would be a food shortage elsewhere. Perhaps the real question is how to make the region have purchasing power. Believe you me, they have ALOT of resources there including rivers, Gums and resins. But the folk believe in the easier life of walking around with animals while the 'wazee' idle away time playing ajua... Even the young Maasai are now changing!from herding to transport, farming, kiosks etc.
I Think Therefore I Am
accelriskconsult
#9 Posted : Monday, August 08, 2011 12:25:04 PM
Rank: Member


Joined: 4/2/2011
Posts: 629
Location: Nai
selah wrote:
IMHO,I think the govt does not import maize, it waives the importation tax once locally produce maize become too costly such that the millers end up raising the prices of their produce.

I think the problem with this country is lack of a proper distribution network such that farmers have no power or know how of how to exploit the available channels of distribution to get full value for their products.

Building strategic storage facilities for consumer goods that are produced in plenty I think is a waste of resources

cooperative movement is the only vehicle that can help farmers in North Eastern and Riftvalley get value for their produce. This cooperatives can have a higher bargaining power than individual farmers.



Selah what would happen if the central bank did not know how much money was in circulation in the economy, or did not maintain a strategic reserve of the currencies that an import economy of ours relies on such as USD and Euro? A strategic reserve bank does not absorb all the excess food, what it does is to create buffer stocks. This inevitably stabilises prices for both buyer and seller.

Improvement of distribution is a quick win and can be implemented at low cost, but creation of the food banks is the long term solution. A sort of equilibrium must be maintained.

On to other matters, most Kenyans who are arguing that the Turkana are lazy and could have done better on their own are ill informed and I have the benefit of experience having grown up in one of the most neglected areas of the country.

We take into granted simple things like the oxygen we breathe every day. Those who were born around the Railway line tend to think that they did anything special to achieve what they have today. The truth is that a biological accident placed them where they are and if they were born say in Turkana or Mandera, they would not be what they are today.
selah
#10 Posted : Monday, August 08, 2011 12:27:37 PM
Rank: Elder


Joined: 10/13/2009
Posts: 1,950
Location: in kenya
@bwenyenye Well said take this example in Turkana.

Quote:
As 400,000 families face starvation in Turkana, farmers on the banks of the rivers Turkwel and Kerio have more than enough food.

The farmers, with the backing of the Turkana Rehabilitation Programme, invested in an irrigation scheme and harvested more than 930,000 kilogrammes of grain from land that the locals thought was not fertile enough for crop production.

"The region has over 76,000 hectares of arable land under irrigation but less than 7,000 hectares is utilised," said Turkana Rehabilitation Project programme director James Kipkan.

"Humanitarian agencies should consider investing in assets where locals can be assisted to generate their own food instead of depending on aid," appealed Mr Kipkan.http://allafrica.com/stories/201108010885.html


Now after the govt invests in irrigation schemes the farmers will want the same govt to buy the produce which negates the purpose of free market and self sustaining development project objectives.
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
Gordon Gekko
#11 Posted : Monday, August 08, 2011 12:32:20 PM
Rank: Elder


Joined: 5/27/2008
Posts: 3,760
@bwenyenye, I completely agree with your statement, "The regions problem is not lcak of food, but lack of a means to acquire it". How do you explain well fed policemen and administration personnel living in those areas when the local folk are skinny and expiring?

IMHO, the Gov just needs to put good access roads to these areas, then private sector will ensure that the rotting potatoes and cabbages in Molo will find its way there.
MCHUNA
#12 Posted : Monday, August 08, 2011 12:49:39 PM
Rank: New-farer


Joined: 7/22/2011
Posts: 46
Gordon Gekko wrote:
@bwenyenye, I completely agree with your statement, "The regions problem is not lcak of food, but lack of a means to acquire it". How do you explain well fed policemen and administration personnel living in those areas when the local folk are skinny and expiring?Sad


Can u explain?it has alwayz puzzled me...
...
majimaji
#13 Posted : Monday, August 08, 2011 12:52:47 PM
Rank: Veteran


Joined: 4/4/2007
Posts: 1,162

I think Government food policies encourage cartel like behaviour notably among the maize growers. The politicians from the region will always oppose maize imports saying there is enough like in the current crisis. Result is cost of maize goes up, inflation goes up, people starve and everybody loses. These politicians oppose maize imports, but do not say a word when the grain is exported to southern Sudan. For nomadic pastoralists; drought will always recur. Bearing in mind the size of the Northern areas, telling them to turn to irrigation is not practical in those lands. The cure is: encourage the private sector to invest there by providing infrastrucure such as roads (motorable standards) electricity etc in the major centres. That way, industries that revolve around livestock will be established and the Turkana, Gabra, Somali et al will not need to be fed by GK.
accelriskconsult
#14 Posted : Monday, August 08, 2011 12:54:43 PM
Rank: Member


Joined: 4/2/2011
Posts: 629
Location: Nai
bwenyenye wrote:
Good People,

It will never make sense for the government to waste money buying dying cows. The probelm we are having in North eastern Kenya is that of trying to sustain an impractical lifestyle and culture among the Turkana et al. Their lefstyle breeds laziness and they need to change as their land reduces. Unless we change their outlook of life, we can always count on a next round of help next year. The regions problem is not lcak of food, but lack of a means to acquire it.

I can assure you that if they had the means to buy the maize,or grow it, there would be a food shortage elsewhere. Perhaps the real question is how to make the region have purchasing power. Believe you me, they have ALOT of resources there including rivers, Gums and resins. But the folk believe in the easier life of walking around with animals while the 'wazee' idle away time playing ajua... Even the young Maasai are now changing!from herding to transport, farming, kiosks etc.



Questions for you, Selah and Gordon Gekko

1. Is walking around with cattle really an easier life than say cultivating maize or even onions?

2. How many Kenyans know that resin and gum have economic value?

3. Where will this purchasing power come without interventions by the government to create infrastucture that supports economic activity

For those who argue that the government has no blame in this, flash back to the pictures of helpless in the US post Katrina and think abou how much money has had to be sunk into constructing dikes. I suppose the citizens of Katrina with their relatively higher purchasing power would have done better.

The welfare economics suggested by Adam Smith has a place in this country and its leadership. Kenya will not develop by sinking most of its resources in areas that have been economically exploited since time immemorial. Infact the marginalised areas should offer investors an higher rate of return and this can only be achieved through deliberate interventions.
majimaji
#15 Posted : Monday, August 08, 2011 1:24:01 PM
Rank: Veteran


Joined: 4/4/2007
Posts: 1,162

Common misconceptions by the Southern Kenyans about the Northern Kenya:

1. Northern Kenyans have an unhealthy attachement to livestock. Fact: In the dry arid North, it is the only practical economic activity.
2. Make Northerners cultivating farmers and all problems solved. Fact: Not practical due to aridity. It is practical to move the animals from pasture to pasture.
3. Irrigate the North and all problems solved: Fact: The area is vast and arid. Only small pockets can be irrigated. Irrigation takes large amounts of water and is a scarce resource and will cause conflict between the herders and cultivators.
selah
#16 Posted : Monday, August 08, 2011 1:56:06 PM
Rank: Elder


Joined: 10/13/2009
Posts: 1,950
Location: in kenya
@Majimaji & @acc the article I quoted above shows NE has a potential of producing adequate food to feed the residents but ofcourse I know their culture dictitates otherwise.In isiolo (where I come from ) you will be surprised at the amount of food pple produce, but since majority of residents there are pastoralist, exploiting the lands full potential is limited.

I agree its impossible to irrigate all of NE but its quite retrogressive if river banks remain unexploited and hence continue with these cycle of dependency on govt & NGO handout year in year out.

'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
Mainat
#17 Posted : Monday, August 08, 2011 2:54:51 PM
Rank: Veteran


Joined: 11/21/2006
Posts: 1,590
The North Eastern question is one where all 3 regimes have fared miserably on. Buying live or dead cows is latest of these nonsensical ideas. What can be done differently?
Israel has done so there is question that irrigated farming can work, so perhaps we can encourage some Israelis to settle there. There is a cultural misconception as to what crop instead of farming entails which needs to be overcome, but NE cannot let itself descend into generations of people waiting for handouts. GoK should work extra hard to bring NE into mainstream economy by providing it with infrastructure (roads, security, internet et al). Since we are so keen to involve the Chinese in everything perhaps we can ask them to set up Africa’s largest solar farming project in NE such that we have enough power that we can sell to the neighbours.

Sehemu ndio nyumba
selah
#18 Posted : Monday, August 08, 2011 3:13:24 PM
Rank: Elder


Joined: 10/13/2009
Posts: 1,950
Location: in kenya
Mainat wrote:
The North Eastern question is one where all 3 regimes have fared miserably on. Buying live or dead cows is latest of these nonsensical ideas. What can be done differently?
Israel has done so there is question that irrigated farming can work, so perhaps we can encourage some Israelis to settle there. There is a cultural misconception as to what crop instead of farming entails which needs to be overcome, but NE cannot let itself descend into generations of people waiting for handouts. GoK should work extra hard to bring NE into mainstream economy by providing it with infrastructure (roads, security, internet et al). Since we are so keen to involve the Chinese in everything perhaps we can ask them to set up Africa’s largest solar farming project in NE such that we have enough power that we can sell to the neighbours.



I hear we will have the biggest Wind farm in Africa located In NE I think it will be in operation by July 2012.
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
GGK
#19 Posted : Monday, August 08, 2011 3:37:39 PM
Rank: Member


Joined: 11/21/2006
Posts: 608
Location: Ruiru
The NE question has perplexed me for some time. U read in the DN that 3.5 million cattle with estimated street value of Ksh 52 billion have perished. IMHO, such large scale availability of beef should have at least affected the beef prices downwards.... but what happens?..they all died... the consumer of beef didn't benefit from low prices and neither did the livestock farmer. What is the problem here? The farmers have no access to the market. I tend to believe that since famine is not an earthquake more should have been done to make the farmer aware that if he does not sell early enough he risked loosing everything.

One farmer quoted had 300 cows and lost 250 of them. Even if he sold them at throw away price of 5K each, he would still be having something 1.5m and am sure with such a sum, famine would be news to him.

On maize farmers of the Rift, if GoK subsidizes inputs (e.g seeds and fertilizer) then their produce should be competitive in the market like it happens in Europe. The story of GoK now purchasing the maize from farmers does not make sense.

Strategic reserves are still relevant but farmers should not look at as the only market. There is a blogger who talked about cooperative societies ...which I support. Some farming activities in Kenya goes on without much government input and everything is nearly perfect (like milk), why should maize be different? And who said GoK must buy from local farmers to stockpile the strategic grain reserves?
"..I am because we are. "― Ubuntu, Umtu,
Kenyan Oracle
#20 Posted : Monday, August 08, 2011 3:39:51 PM
Rank: Member


Joined: 5/31/2011
Posts: 250
selah wrote:
Mainat wrote:
The North Eastern question is one where all 3 regimes have fared miserably on. Buying live or dead cows is latest of these nonsensical ideas. What can be done differently?
Israel has done so there is question that irrigated farming can work, so perhaps we can encourage some Israelis to settle there. There is a cultural misconception as to what crop instead of farming entails which needs to be overcome, but NE cannot let itself descend into generations of people waiting for handouts. GoK should work extra hard to bring NE into mainstream economy by providing it with infrastructure (roads, security, internet et al). Since we are so keen to involve the Chinese in everything perhaps we can ask them to set up Africa’s largest solar farming project in NE such that we have enough power that we can sell to the neighbours.



I hear we will have the biggest Wind farm in Africa located In NE I think it will be in operation by July 2012.


@Selah. True the project was started but am not sure how far it is from completion hope they meet the said completion date. http://laketurkanawindpower.com/news.asp?ID=4
You lose money chasing women, but you never lose women chasing money - NAS
Users browsing this topic
Guest (3)
2 Pages12>
Forum Jump  
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.

Copyright © 2025 Wazua.co.ke. All Rights Reserved.