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Originally published by Capital Businessbusiness
November 26, 2025
12h ago
World Bank, CAK push reforms to open up fertilizer market
NAIROBI, Kenya, Nov 26 - The Government has been urged to reform the fertilizer subsidy programme to give farmers more freedom to choose products and Kenya breaking news | Kenya news today |..
✨ Key Highlights
The World Bank and Kenya's Competition Authority (CAK) are urging the Kenyan government to reform its fertilizer subsidy program to provide farmers with greater choice and market-driven prices. A joint report highlights how the current program, NFSP-2, has limited farmer autonomy compared to the previous voucher-based system.
- The NFSP-2 program, adopted after the 2020 fertilizer crisis, accounts for 30–40 percent of national fertilizer sales as of June 2025.
- The report recommends modifying NFSP-2 to permit more last-mile retailers and introduce competitive bidding for future contracts, suggesting options like the lowest retail price under a fixed subsidy or the lowest subsidy required.
- The CAK is also called upon to strengthen anti-cartel enforcement to prevent anticompetitive practices like bid-rigging in the fertilizer market.
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