Ruto swearing in

zapp_brannigan said:
One thing I hate about subsidizing items is that somehow the taxpayers still pay the market rates but indirectly . Subsidies are not sustainable tuambiane ukweli . Instead, we should fix the causes of the high costs of production in all areas.
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Ya fertilizer?
 
shocks said:
Ya fertilizer?
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The difference with fertilizer subsidies is that you are lowering the cost at production. At the beginning of the value chain rather than at the end.

That way you are not passing down the 6500ksh cost to the manufacturer of Unga who in turn passes the cost to the consumer. It is also much easier to track. You know how many bags have been imported and you only subsidize that.

On the consumption end, you cause price distortions, shortages and it is impossible to track who is buying what.
 
Denis Young said:
The difference with fertilizer subsidies is that you are lowering the cost at production. At the beginning of the value chain rather than at the end.

That way you are not passing down the 6500ksh cost to the manufacturer of Unga who in turn passes the cost to the consumer. It is also much easier to track. You know how many bags have been imported and you only subsidize that.

On the consumption end, you cause price distortions, shortages and it is impossible to track who is buying what.
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Diesel is also an input to production, no?
 
Given that maize(most dependable food commodity) is planted early in the season, let me say hii story ya subsidy of fertilizer inanikalia hot air. Saizi ata ukisubsidize effect yake haitakuwa felt till next yr september. How's that lowering the cost of living?
 
shocks said:
Diesel is also an input to production, no?
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It does. Transport cost is massively important but it is the same problem with unga subsidy. The solution must be to cut the numerous levies and to souce for cheaper fuel. I saw Ahmednasir suggest Saudi Arabia which is offering 25% cheaper fuel but bado tunatoa UAE.
 
Othello said:
Given that maize(most dependable food commodity) is planted early in the season, let me say hii story ya subsidy of fertilizer inanikalia hot air. Saizi ata ukisubsidize effect yake haitakuwa felt till next yr september. How's that lowering the cost of living?
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So you'd rather no subsidy now so that next year we find ourselves in the same situation?
Pia hio Sept tutahitaji kukula.
 
Aviator said:
So you'd rather no subsidy now so that next year we find ourselves in the same situation?
Pia hio Sept tutahitaji kukula.
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Hiyo ya fertilizer ni PR though. How many maize farmers plant in september? Priority is now where unga is costing 200. Removing fuel and maize subsidies will even take it higher.
 
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