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Published October 22, 2026agricultureeconomyenergy

Food prices likely to rise further before rains offer hope of relief, CBK survey warns

The warning comes as annual inflation climbed to 6.8 per cent in September, from 6.6 per cent in August and 6.5 per cent in July.

Source-backed market reading focused on the local industrial developments, project signals, and operating consequences that are actually worth tracking.

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The warning comes as annual inflation climbed to 6.8 per cent in September, from 6.6 per cent in August and 6.5 per cent in July. Maize crop damaged by drought in Trans Nzoia county/ FILE KENYAN households should brace for further increases in food prices in the coming weeks as high fuel prices, rising production costs and prolonged dry weather threaten supplies.

This, even as farmers anticipate improved harvests from the October–December rains. The Central Bank of Kenya’s September 2026 Agriculture Sector Survey points to mounting short-term inflationary pressures, with milk, maize flour, wheat products, sugar and vegetables among commodities facing potential price increases.

The CBK survey, conducted between September 21 and 25 among 466 farmers, retailers and wholesalers, found that 64 per cent of respondents expected the total inflation rate to rise over the next month. However, 61 per cent anticipated would ease over the next three months, reflecting hopes that improved rainfall and food supplies will moderate prices.

“The survey points to an increase in near-term inflation expectations, mainly reflecting emerging supply-side risks and weather conditions,” the CBK said. The warning comes as annual inflation climbed to 6.8 per cent in September, from 6.6 per cent in August and 6.5 per cent in July, driven largely by higher transport, food and non-food costs.

Milk emerged as a major pressure point, with 74 per cent of respondents expecting fresh packaged cow milk prices to rise in the coming month. For fresh unpackaged milk, expectations of higher prices rose to 67 per cent from 11 per cent over the same period. The CBK attributed the pressure partly to the depressed March–May long-rains season, which affected pasture in some producing regions, reducing milk supplies and pushing up prices.

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Food prices likely to rise further before rains offer hope of relief, CBK survey warns

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Document: The Star Kenya Business · Source: The Star Kenya Business

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