Rwanda: Potato farmers, traders to form cooperation
The deal, spearheaded by the Ministry of Trade and Industry, was reached on Friday between three cooperatives of Irish potato dealers in Kigali City districts and 13 Irish potato farmers’ cooperatives from the North and Western Province districts.
The contract aims at setting stable and fair prices for both dealers and farmers.
Currently, the farm prices for Irish potatoes are between Rwf55 and Rwf70 per kilogramme, which farmers claim leaves them counting losses of up to Rwf40 per kilogramme compared to Rwf97 required for the production of one kilogramme. And the market price in Kigali varies between Rwf100 and Rwf120.
Under the new agreement, prices deemed fair will be established for both farmers and dealers. New farm gate prices would vary between Rwf115 and Rwf120.
The contract fixes prices for produce from Kinigi at Rwf124 per kilogramme considering its production cost per kilogramme which stands at Rwf115.
For retailers in Kigali, the agreement requires retail traders not to charge more than Rwf150.
The new prices will come into force on December 11, starting from Nyabihu District.
Isaac Nzabarinda, the president of the Irish potato farmers federation known by its French acronym as Fecopporwa, said farmers are optimistic that processing plants being built in Nyabihu and Musanze districts would add value to their produce so as to fetch more prices.
Source: potatopro.com