Which are the most profitable cereals in Kenya-2024?

Are you looking for the best types of products to stock in your cereals business in Kenya?

A cereals business is one most profitable ventures you can start in major towns of Kenya. According to a 2022 study ¹, cereal traders in key markets cereals and grains markets of Mombasa, Nairobi, Nakuru, Eldoret, Kisumu, and Nyeri, can make up to 40%. However, to enjoy such returns you must focus on the fast-moving and most profitable types of cereal in Kenya.

What are Fastest Moving Cereal Products in Kenya?

Why stock your business with fast-moving cereals? Food traders and buyers say these products have many benefits and features.

• They are some of the most nutritious foods providing your customers with good health and immunity
• The most profitable cereals have high market demand since they are the common staple foods in Kenya.
• These cereal types are profitable to trade in and do not delay your cash to working capital.
• According to some customers like schools, they are affordable/cheap
• Urban consumers love them for they cook fast saving time and fuel.

Product	Variety	Average Wholesale Price (KES/kg)	Average Retail Price (KES/kg)	Profit Margin (%)
Dry beans	Army green	170	192	12.9%
	Black beans (njahi)	167	199	19.2%
	Green/yellow	172	209	21.5%
	Mwitemania	161	189	17.4%
	Nyayo	146	165	13.0%
	Red kidney	165	187	13.3%
	Rosecoco	153	178	16.3%
	Saitoti	125	150	20.0%
	Wairimu	127	142	11.8%
Dry maize	Maize	66	93	40.9%
Irish Potatoes	Shangi	60	80	33.3%
Rice	Ahero	114	160	40.4%
	Basmati	135	153	13.3%
	Biriani	100	116	16.0%
	Fatma rice	255	260	2.0%
	Mpunga	160	170	6.3%
	Pakistan	145	170	17.2%
	Pishori grade 1	156	185	18.6%
	Pishori grade 2	138	175	26.8%
	Sindano	140	156	11.4%
	Sunrice	255	260	2.0%
	Tamtam	140	150	7.1%
Wheat	Wheat	67	81	20.9%

Best Types of Cereals in Kenya

Having understood the benefits of fast-moving cereals, which ones should you grow or sell in Kenya? In this list, we will give you a list of the most profitable cereals, grains, and legumes to supply in this market. The most profitable cereals and cereals products to grow or sell in Kenya are;

Read Next: How Profitable is Cereals Business in Kenya?

Dry Maize

Dry maize is the most important staple food in Kenya. It has a consistently high demand nationwide from January to December. This makes it a reliable option for sellers.

Each household in Kenya or an institution such as a boarding school eats ugali or githeri almost daily. According to studies, the per capita consumption of maize in Kenya is between 98–and 103 kg per person per year. This gives an average demand of 8kg of dry maize per month for every Kenyan.

In terms of profits, the average maize prices in Kenya are highly volatile. They are influenced by many factors like drought politics and fertilizer costs. For instance, in March 2023, the national average wholesale price was KES 66/kg, with a retail price of KES 93/kg giving you a profit of KES 27/Kg. This translates to a profit margin of 41%.

However, regional variations exist. Kisumu, for instance, have a significantly higher retail price of up to 174 KES/kg due to its low agricultural yield. Major markets in Nairobi like Nyamakima source their maize through imports from Uganda and Tanzania to meet excess demand.

Kenya consumers have no preference for any maize variety. Some of the popular hybrid varieties include H624, H614, and H512. If you are looking for more profits, consider selling special cors products such as;

• Popcorn Maize
• Dry Maize
• Muthokoi

As a trader, your best maize buyers are local millers, schools, or individual consumers.

Dry Beans

Dry beans are the cheapest source of proteins in Kenya. They are often consumed as githeri a simple recipe of boiled maize and beans. Beans stew is also a common dish with chapati, ugali or boiled rice.

Bean prices vary with region and season. For example, in March 2023, Eldoret and Kisumu had the highest retail prices for beans, while Nakuru and Mombasa benefited from lower wholesale prices. Nairobi the largest beans market in the region sources its beans from various regions, including Meru, Narok, and Taita Taveta, as well as imports from Uganda and Tanzania.

There are many bean varieties and types available across Kenya. The ones with the highest demand you can consider for your cereals business are;

1. Yellow Beans: These beans are among the highest-priced, indicating a premium market. Their rich nutritional profile and high demand in most regions, despite a slight price drop in Nairobi, make them a great choice for health-conscious consumers and premium markets
2. Black Beans (Njahi): Njahi is highly nutritious, rich in protein, and widely consumed across Kenya. Its strong market demand and increasing prices, especially in urban centers like Nairobi, make it a valuable crop for both farmers and traders. It grows well in various climates, providing a reliable source of income and food security.
3. Army Green Beans: Army green beans are popular for their versatility and nutritional value. Their higher prices in Eldoret, Kisumu, and Nyeri indicate strong demand, making them a profitable crop in these regions. Their adaptability across multiple regions makes them a dependable choice for farmers.
4. Rosecoco Beans: Rosecoco beans are widely favored for their creamy texture and flavor, making them a staple in Kenyan households. Their availability in almost all regions and stable prices, especially in Nakuru, highlight their steady demand and reliability in the market.
5. Wairimu Beans: Known for their ease of cooking and versatility, Wairimu beans are a staple variety with stable prices, particularly in Eldoret and Nakuru. They are consistently available and affordable, making them a great choice for both consumers and farmers looking for stability.

Rice

Kenya consumes close to one million metric tons of rice each year.

Rice consumption in Kenya has been steadily increasing, particularly in urban areas. However, a staggering 89% of the rice consumed in Kenya is imported, making it one of the most import-dependent cereals. While some of the local rice is sourced from the Mwea irrigation scheme in Kirinyaga County, much of it is imported from countries like India, Pakistan, and Vietnam.

According to a 2014 research, rice consumers in Kenya prefer the aromatic basmati type. Other rice types you need in your cereal shop are biryani and the pure mwea pishori rice.  The retail prices for rice range from Ksh 100 for Basmatti, and Ksh 150 for sindano rice while the Mwea rice retails at Ksh 180-200 depending on its quality.

Wheat

Wheat is the second most consumed cereal after maize in Kenya.  Its consumption has been rising by about 4% annually, driven by an expanding market for bakery products. Currently, about 62.4% of Kenya’s wheat needs are met through imports, primarily from countries like Russia, Ukraine, and Australia. Locally, you can source wheat from the best wheat-growing areas like Narok, Nakuru, Uasin Gishu, Trans Nzoia, as well as Laikipia. 

Green grams (Ndengu)

Greengams or mung beans are Kenya’s second most consumed legumes after the common beans.  Mung beans are a great accompaniment to rice and chapati stews. In addition, unlike other pulses, green grams will not give you heartburn or digestive gas.

Most of the country’s ndengu supply is domestic from Kitui, Makueni, Tharaka Nithi, Machakos, Meru, and Embu counties. Various varieties are available in the market. They are

• Makueni Ndengu; It is tiny and circular with an edible taste
• Nylon Ndengu; It has a shiny/polished look and it’s a big size.
• Special/ western Ndengu; This variety is yellowish brown in color.

Lentils (Kamande)

Lentils are the other legume that has a fast-growing demand in the country. Commonly known as Kamande, they resemble tiny beans sometimes with a flattened side. There are various varieties with the red and brown lentils being the most common. Others are black and green varieties.

Lentils are very easy to prepare and fast to prepare making them a preferred grain for most urban consumers. In addition, they are very nutritious as they contain high levels of protein and fiber. Finally, their low cost makes them accessible to many people around the country.

Peas

Another category of profitable cereals to consider for your grain shop is peas. These nutritious products belong to the legume family such as beans, lentils, and green grams. The common ones that have fast sales are;

• Cowpeas (Kunde) both the red and white varieties
• Green Peas (Minji)
• Pigeon peas (Baazi)

Flours

In addition to the above cereals, cereal businesses in Kenya make extra profits by value addition or food processing. The best choice for the majority is milling grains and selling corn (maize) flour or porridge flour. You will earn an extra of Ksh 5-20 per kg of flour compared to selling cereals. Assorted and fortified flours will fetch you more money than pure ones. The most common uji flours in cereal shops are;

• Pure millet (Wimbi)
• Pure sorghum (mtama)
• Finger millet (Mawere)
• Cassava (mhogo)
• Maize (Baridi)
• Omena
• Assorted (Uji Mix)
• Banana

 You can consider fermenting some of the flour to sell it sour.

How to choose the best cereal products?

Our list has over 30 profitable cereals in Kenya. However, it is not advisable to stock all of them especially if you are just starting up. Our guide advises you on steps to follow for buying and selling the most profitable ones that are fast-moving without holding your working capital These steps are;

• Conduct a market survey of your target market to know the products with the highest demand. Explore what your rival businesses are stocking and mirror your stock and prices to theirs
• Once you start operating, listen to what your customers are enquiring. Introduce it in small quantities and increase its volumes to match additional orders.

Conclusion

It’s our hope this article teaches you the best cereal products to grow and sell in Kenya. They include various types and varieties of maize, beans, green grains, peas, and lentils. Milled maize and porridge flours fetch higher profits than cereals. In this category, consider selling assorted flours. Millet, sorghum, and maize flours are the most popular in the country. To settle for the most profitable product in your shop, Agcenture advises you to conduct a market survey and mirror your stock to your competitors. Besides, keep introducing new products as customers make orders.

See the video below on the best types of cereals in Kenya to trade in 2024

1. FOOD PRICE MONITOR: KENYA
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