MPs demand urgent reforms as audit exposes billions lost at NCPB

The National Cereals and Produce Board (NCPB) has been thrust into the spotlight after a parliamentary committee raised alarm over billions of shillings lost through financial mismanagement, threatening the country’s food security.

The National Assembly Public Investments Committee on Social Services, Administration and Agriculture (PIC-SSAA), chaired by Navakholo MP Emmanuel Wangwe, said an audit report by the Auditor-General exposed grave governance failures at the board.

The report detailed unsupported expenses, ballooning debts, and misreported assets, all pointing to weak controls and poor oversight.

According to the audit, more than Sh2 billion in expenditure for the 2017/2018 financial year lacked supporting documents.

It also revealed unclear ownership of storage facilities and land parcels worth over Sh54 million, wrongly valued assets, and serious procurement flaws.

“These are not just bookkeeping errors. They point to systemic weaknesses that have left the Board vulnerable to abuse,” said nominated MP Kosgei during the committee session. “If public resources are not safeguarded, Kenya’s food security is directly endangered.”

Among the costly blunders was a maize purchase contract that collapsed, sparking arbitration and massive financial losses, with bills from the dispute still pending. The audit also flagged stock shortages, inadequate verification of grain sources, and failures in quality control.

The board’s financial woes are compounded by billions in debts owed to maize farmers, fertiliser suppliers, and the Kenya Revenue Authority, some of which date back over 20 years.

The committee noted that penalties tied to the arrears have not been captured in the financial statements.

At the same time, government arrears to NCPB, also dating back nearly two decades, have worsened the liquidity crisis.

“The situation has reached a point where farmers who delivered maize years ago are still waiting for payment. This is unacceptable,” Wangwe said

The committee also faulted the Agriculture Ministry for absences during key stock-taking exercises, weakening accountability. Challenges intensified after the Strategic Food Reserve Board was dissolved and its mandate handed over to NCPB without matching funding or institutional support.

“The Board is expected to guarantee national food security, yet maize is rotting in silos due to prolonged storage and poor planning,” said Ndhiwa MP Owino.

“This is a betrayal of farmers and consumers alike.”

PIC-SSAA has now called for urgent reforms at NCPB, including stronger financial controls, improved governance, and decisive leadership to restore public trust.

MPs also demanded that the Agriculture Ministry take responsibility for ensuring proper oversight and prompt settlement of government obligations.

“The Kenyan people deserve better. The time for excuses is over. We want action, not promises,” Wangwe stressed.