Govt Cancels Licenses for All Brown Sugar Importers

Brown Sugar. The government has banned the importation of brown sugar.
File image of Brown Sugar

The government on Thursday, July 2, announced the ban of all brown sugar imports.

While canceling all the import licenses, Agriculture CS Peter Munya stated that the move was necessary to protect the local industry and farmers.

“We have suspended all brown (table) sugar imports into the country with immediate effect. We have also suspended pre-shipment approvals and extension of all sugar import permits until further notice.

"The uncoordinated importation of brown sugar has rendered Kenya’s mills uncompetitive. Ex-factory prices for the mills remain at Sh85,260 for a tonne compared with the CIF price of Sh60,117 for the same quantity,” the CS stated.

 

Agriculture CS Peter Munya speaks at the National Agriculture Summit at Safari Park Hotel on Wednesday, February 26, 2020
Agriculture CS Peter Munya speaks at the National Agriculture Summit at Safari Park Hotel on Wednesday, February 26, 2020
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The measure came after Kakamega Governor Wycliffe Oparanya lamented over illegal importation of sugar in the country adding that it was undermining the local industry.

“Sugar barons are the cause of sugar importation crisis. We are introducing a bill in Parliament through a Private Bill from Hon MP Wafula Wamunyinyi from Kandui and we have met with CS Peter Munya for amendments, the bill is now before the National Assembly and hopeful it will be ready within one month,” he stated.

The President had on July 1, met Western leaders and discussed ongoing government efforts to revive the ailing sugar sector including the Mumias and Nzoia sugar factories.

The Head of State assured the leaders of the government's commitment to reviving the sector by fast-tracking the implementation of the sugar taskforce report.

The sugar sector revival report generated by a Presidential taskforce co-chaired by Agriculture CS Peter Munya and Kakamega Governor Wycliffe Oparanya outlined several interventions among them writing off of debts owed by the millers.

As part of the revival process, the government through the Ministry of Agriculture has already published the sugar sector regulations and is in the process of strengthening the legal framework to anchor sector reforms.

President Uhuru Kenyatta signing a ball after meeting with leaders from Western Kenya on July 1, 2020.
President Uhuru Kenyatta signing a ball after meeting with leaders from Western Kenya on July 1, 2020.
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Earlier in May 2020, leaders from Western, Nyanza and Trans Nzoia regions threatened to storm the Busia/Malaba border points to protest the illegal smuggling of cheap sugar into the Country through the entry points.

Kenya National Farmers’ Federation (KENAFF) CEO Dr. Mwendah Mailutha called on the Agriculture CS to act decisively on the sugar imports.

“We need to focus not just on production but productivity. Governments need to see what inputs do farmers need and subsidise them for the sake of farmers,” Mailutha stated.

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