Fuel price hike pushes up cost of basic goods

Consumers are facing tougher times as prices of basic commodities rise sharply following the increase in fuel prices.

Spot checks by The Standard in several towns, as well as interviews with residents, established that the prices of most products have increased.

At Mukuyu Market in the Mount Kenya region, prices of farm produce have doubled, with a kilogramme of tomatoes and onions retailing at Sh100 and Sh120 respectively. Previously, they sold at an average of Sh50.

Traders said the cost of transporting the commodities from Kagio Market has become a major challenge.

Hellen Wafula said many families would be forced to forgo some basic items. “In many markets, the supply of tomatoes has reduced because of the declining purchasing power among locals,” she said.

Cereal dealer Virginia Waithira said a bag of maize is now retailing at Sh4,500, up from Sh4,200, with the increase attributed to the higher cost of transporting cereals from Kitale and Ng’arua in Trans Nzoia and Laikipia, respectively. A bag of beans is now selling at Sh8,000, up from Sh7,500.

“If this continues, many families will go without food,” said Waithira.

Traders said the high cost of fuel has sharply increased transport expenses for produce moved from farms to markets, a burden that will ultimately be passed on to consumers.

In Kakamega Town, markets selling tomatoes, onions, potatoes and cabbage are reporting reduced activity. Traders warned that consumers should expect even higher food prices in the coming days as businesses struggle with rising operational costs.

“We used to pay Sh40,000 for transport, but now it is about Sh50,000. That extra cost will eventually be transferred to customers,” said Onesmus Kinyanjui.

Small-scale traders said they have started increasing prices and reducing portions to remain in business.

“We used to sell a bucket of potatoes for between Sh650 and Sh700, but now we have to sell it at Sh800. Even small portions that sold at Sh100 are now going for Sh150,” said Miriam Wanjiku.

The traders are now calling on the government to reintroduce fuel subsidies to cushion Kenyans against the rising cost of living.

Drivers transporting produce said the fuel hike has significantly increased operational costs, making business difficult.

“We used to spend Sh17,000 on fuel for trips to Narok and back, but now the same trip costs nearly Sh24,000 or Sh25,000,” said David Kibe.

Linus Rono said transporters could no longer sustain the rising costs without increasing charges.

“If my truck consumes 100 litres, that is now about Sh20,000 on fuel alone,” he said.

In Kisumu, small-scale traders at Jubilee Market said rising transport costs have pushed up commodity prices, reduced customer numbers and left many businesses struggling.

Celestine Achieng’, a fruits and vegetables trader, said the fuel hike has affected traders who source goods from Uganda.

“The high fuel prices are affecting us in a major way because transporting goods from Uganda has become extremely expensive,” she said.

Achieng explained that before the fuel price increase, she used to buy 500 pineapples for around Sh10,000, but the same quantity now costs about Sh15,000.

“We are asking President Ruto to look into this issue because Kenyans are suffering,” she added.

Rose Atieno, who deals in cereals at the market, said the fuel increase has drastically reduced profit margins because of high transportation costs from Busia to Kisumu.

“Transport costs have gone up. A 50-kilogramme bag of rice that used to cost Sh6,500 is now going for around Sh9,500,” she said.

Rachel Andere, who sells tomatoes and onions at Jubilee Market, also expressed concern over rising prices.

“Customers now complain that tomatoes are too expensive,” she said.

Andere noted that before the fuel hike, she used to buy a crate of tomatoes for Sh7,500, but it now costs as much as Sh15,000.