The Law Society of Kenya (LSK) on Wednesday, April 19 filed a petition at the Milimani Law Courts in Nairobi, challenging the government's move to import 125,000 metric tonnes of edible oils.
In court papers, LSK explained that allowing duty-free importation of edible oils into the Kenyan market will drive edible oils manufacturers in Kenya out of business.
Kenya Association of Manufacturers (KAM) on April 12, 2023, asked the Kenya Kwanza administration to protect them from cheap imports.
"This will mean loss of approximately 100,000 jobs as well as loss of government revenue arising PAYE and corporate tax," KAM stated.
Speaking to Kenyans.co.ke, the LSK President Eric Theuri explained that there was no emergency situation in the country that could warrant the government to import edible oils.
"The Kenya National Trading Corporation did not follow the law in approving the importation of edible oils, it should have followed constitutional mechanisms which include approval of parliament," Theuri explained.
Importation of edible oils was a government's move to reduce the prices of edible oils in the country.
Theuri emphasized that the government's move may lead local manufacturers into losses and mass lay-offs.
"The government should instead create favorable conditions for local manufacturers, to lower prices, create more jobs and earn revenue," he stated.
LSK maintained that it is possible for edible oil prices to come down without necessarily importing the same commodity from other nations.
While allowing the importation of edible oils, the government cited section 114 (2) and paragraph 20 of part B of the fifth schedule of the East African Community Customs Management Act.
However, LSK argued that the Act could only sanction the duty-free importation of relief goods that are imported for emergency use in a Partner State.
"There is no emergency in Kenya to sanction importation of edible oils when there are other alternative options of supporting local manufacturers in lowering the price of edible oils," read part of the LSK statement.
The matter shall be mentioned in court on May 15, 2023.
LSK listed the Attorney General, Principal Secretary Ministry of Trade, Investment and Industry, Principal Secretary National Treasury and Economic Planning, Commissioner for Customs and Border Control, and Kenya National Trading Corporation as respondents in the case.
LSK case came at a time when President William Ruto's government is seeking mechanisms to lower the cost of living.
Prior to the 2022 General election, President Ruto promised to lower the cost of living by subsidising production.
