This comes even as President
William Ruto and his Deputy, Rigathi Gachagua, have been bragging that they had
significantly reduced the cost of unga.
In a financial statement, the
miller, which processes popular maize and wheat brands, indicated that the
increase would stem from an increase in exchange rates.
While the miller noted that the
Shilling had strengthened in recent days, there were still existing risks in
the exchange rate owing to fluctuations.
The company expounded that the
exchange rates are likely to impact the cost of imported raw materials and
shipping.
As a result, production of the
flours could rise and ultimately see the prices of the commonly used
household items increase.
"The US dollar exchange rate and liquidity have shown improvement.
"However, should foreign currency
exchange risk persist, it will potentially influence the costs of our imported
raw materials and thus impact the overall cost of our products.
"Despite the challenges,
the Group will capitalize on its strengths to drive performance enhancements
across all operations," the miller cautioned.
Currently, a 2kg packet of maize
flour retails between Ksh150 to Ksh205 depending on the brand.
On the other hand, a
similar-sized packet of wheat flour ranges between Ksh180-Ksh200.
According to the milling
company's projections, Kenyans will also spend more in hotels for various foods
such as ugali, mandazi and chapati.
The Shilling has strengthened
against the dollar in recent weeks.
The Kenyan DAILY POST
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