Dairy farmers may have a reason to smile soon as the government prepares to announce a rescue plan to end the current milk glut.
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Agriculture minister William Ruto said the rescue package was mooted at a crisis meeting of officials from the ministries of Agriculture, Livestock, and Cooperative Development to ensure that farmers do not incur any more losses.
Milk supply has in the past few weeks outstripped the demand by processors and other dairy industries. It has also emerged that Livestock minister Abdi Kuti had floated a proposal to the Treasury for Sh300 million to buy excess milk from farmers.
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What if the government could lend money directly to the small businesses — wouldn’t that be wonderful?
Would it really?
President Barack Obama addressed that very question earlier this month at a town-hall type meeting in Tampa.
The question was posed by small business owner, Steve Gordon, where he asked why it was so easy to lend to the large banks and the auto industry, but that small businesses have to go through their banks in order to get an SBA loan.
Well, first of all, President Obama pointed out, the SBA loans aren’t even run by the SBA. Although the loans are underwritten by the SBA, the SBA works with the local and community banks to process the loan.
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