Win for farmers as Kenya halts sugar imports beyond Comesa, EAC
Win for farmers as Kenya halts sugar imports beyond Comesa, EAC
Kenya has rolled out a plan to cushion domestic sugarcane farmers by imposing a ban on importation of the sweetener from outside the Common Market for Eastern and Southern Africa (COMESA) and the East African Community (EAC) markets
According to Kenya's Cabinet Secretary for Agriculture Dr. Andrew Karanja, the country's sugar production has registered an uptick following seasons of sufficient rainfall coupled with government interventions to supply farmers with affordable fertilizer.
In a statement signed by Dr. Karanja on Tuesday, Kenya projects to produce over 800,000 metric tonnes of sugar this year. He explained that since 2020, Kenya has recorded about 700,000 metric tonnes of sugar output annually from 16 factories.
In 2022, however, the country's sugar production peaked at 800,000 metric tonnes, he added that at the start of 2023, the country experienced severe drought, necessitating the rollout of measures to import the sweetener to plug domestic supply gaps.
On average, Dr. Karanja observed, the country's sugar demand averages 950,000 metric tonnes and often turns to the Comesa and EAC trading blocs to import the difference.
Following the severe drought experienced in 2023, however, authorities in Nairobi opened the window for merchants to import sugar from outside the EAC and Comesa markets to cushion millions of consumers from high prices.
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"Due to similar drought conditions experienced in Comesa and EAC countries last year, Kenya temporarily allowed sugar imports from outside these regions," the CS noted.
"While sugar imports from these regions continue under existing trade protocols, the volumes have been lower due to unattractive low prices.
"Additionally, there are challenges with illegal sugar smuggling through porous borders, which security agencies are addressing," Dr. Karanja noted.
According to the Kenya National Bureau of Statistics, the price of sugar eased by 27.5 percent in August compared to a similar month a year ago, partly on account of rising domestic production.
