As an ultimatum has expired, Kenya resorted into baring Tanzanian beer into Kenya

As an ultimatum has expired, Kenya resorted into baring Tanzanian beer into Kenya

Geza Ulole

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Sale of illegal beer lands bar owners in police cells
The officers stormed entertainment joints in Ntimaru, Kegonga, Senta, Kwiriba, Kehancha and Isebania.

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Some of the Tanzanian beer brands smuggled into Kenya. PHOTO FILE | VIVERE NANDIEMO | NATION MEDIA GROUP
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By VIVERE NANDIEMO


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IN SUMMARY




    • KRA Nyanza Region Coordinator Kelvin Safari said smuggling makes the government lose revenue.
    • County Commissioner Rotich said police will step up efforts to end smuggling at the border.

Bar owners in Migori County spent Madaraka Day in police cells over the sale of illegal alcohol.

The joint raid conducted by Kenya Revenue Authority, police and the National Authority for the Campaign Against Drug Abuse (Nacada) targeted those selling beer smuggled in from Tanzanian.

The officers stormed entertainment joints in Ntimaru, Kegonga, Senta, Kwiriba, Kehancha and Isebania.

REVENUE

KRA Nyanza Region Coordinator Kelvin Safari had said that smuggling makes the government lose revenue.

"We will continue with the crackdown in order to stamp out this dirty business as KRA loses a lot of revenue as a result of unscrupulous traders smuggling goods into the country," Mr Safari said recently.

County Commissioner Joseph Rotich on Thursday last week said police will step up efforts to end smuggling at the Isebania border.

"We are sounding a warning to those people engaged in illegal importation of goods from Tanzania to stop as we are soon closing in on them," Mr Rotich said.

CHEAP

Tanzanian beer is very cheap compared to local ones.

"We rarely sell Kenyan beer because it is expensive compared to Bongo beer(Tanzanian beer). Many of our customers like the beer because it is cheap and not refined, hence they get drunk faster than when they take Kenyan beer," a bar owner at Kegonga town said.

For example, Balimi (which is the cheapest) goes for Sh60 while Tusker is sold for Sh150.

Kehancha resident Jacob Mwita said: "Tanzanian beer has made life here easier. With Sh500, I am assured of a good time as I know I will drink to my fill. I cannot buy Kenyan beer."

The common smuggling routes are Gwitembe, Masangora and Isebania.

Bar owners spend Madaraka Day in police cells


KENYA WARNS TANZANIA AND ISSUES 30 DAY ULTIMATUM
Trade wars
Kenya gives Tanzania 30 day ultimatum to allow Kenyan confectionery products or face retaliatory treatment
George Tubei | 17:48 | 15.05.2018
Tanzanian authorities have now up to the end of the month to visit the Kenyan firms to find out if imported industrial sugar is being used in the products at the centre of the trade spat.
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    President Uhuru Kenyatta at a past event. (the star)
  • Kenya has issued Tanzania with a 30-day ultimatum to allow Kenyan-made confectionery products tax-free passage.
  • This is after Tanzania and Uganda last month slapped Kenyan made sweets, juice, ice cream and chewing gum with a 25 per cent import duty citing use of imported industrial sugar.
  • Tanzania Revenue Authority (TRA) has rejected evidence from the Kenyan Treasury indicating the share of imported sugar in the Kenya- made goods was within accepted levels.
Kenya has issued Tanzania with a 30-day ultimatum to allow Kenyan-made confectionery products or risk Tanzanian goods being blocked from entering the country.
This is after Tanzania and Uganda last month slapped Kenyan made sweets, juice, ice cream and chewing gum with a 25 per cent import duty citing use of imported industrial sugar in the goods. This is despite the Kenyan firms providing certificates of origin issued by the Kenya Revenue Authority (KRA).

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    Tanzania border to Kenya. (Daily News)
Tanzanian authorities have now up to the end of the month to visit the Kenyan firms to find out if imported industrial sugar is being used in the products at the centre of the trade spat which remains unresolved since March.

“Tanzania Verification Mission to visit Kenya on use of duty free sugar imports on confectioneries to be completed in two weeks (May 31, 2018).

Failure to adhere will result in implementation of retaliatory measures,”said the report seen by a local daily of a presidential roundtable.

The government has requested all manufactures to comply with the Tanzanian authorities when they pay a visit to their firms.

“All manufacturers (have been) requested to comply and co-operate with the Tanzania Verification Mission.”

  • NEWS-EAC-on-infrastructure-and-Health-finance-and-Development-Munyonyo-01.jpg

    » moreTanzania's President John Magufuli shares a light moment with Kenya's President Uhuru Kenyatta as Uganda's President Yoweri Museveni and South Sudan's Salva Kirr look on at a past EAC function. (Uganda News)
The East Africa Community common market made up of Tanzania, Kenya, Uganda, Rwanda and Burundi allows free movement of locally manufactured goods within the bloc.

However, Tanzania and Uganda revenue bodies have accused Kenyan manufacturers of unfair competition by using industrial sugar imported under a 10 percent duty remission scheme.

Also read: ONCE A DARLING OF FOREIGN INVESTORS JOHN MAGUFULI IS PROVING A HEADACHE FOR BUSINESS

  • Kenya-Association-of-Manufacturers-CEO-Ms.jpg

    » moreThe Kenya Association of Manufacturers (KAM) CEO Ms. Phyllis Wakiaga. (HapaKenya)
The Kenya Association of Manufacturers (KAM) said late last month while Uganda had softened her hardline stance, the Tanzania Revenue Authority (TRA) had rejected evidence from the Kenyan Treasury indicating the share of imported sugar in the Kenya- made goods was within the levels that grant the products tax-free passage to Uganda and Tanzania.

“The denial of entry for Kenyan goods into Tanzania continues despite KRA’s intervention to clarify the matter to its Tanzanian counterpart,” the manufacturers’ lobby said on April 26.

This is not the first time, however; Kenya and Tanzania are engaging in a trade squabble.

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    LPG cooking gas from Tanzania (The East African)
In 2007, Kenya banned the importation of cooking gas from Tanzania, citing the need to curb the proliferation of illegal filling plants and in retaliation Tanzania banned the importation of milk from Kenya.

The trade restriction was finally lifted after months of negotiations speared by President Uhuru Kenyatta and President John Magufuli which culminated in asigning of trade truce.

Kenya warns Tanzania and issues 30 day ultimatum



MY TAKE
In my opinion the same should be done by TRA. It's all known that Kenya doesn't produce industrial sugar yet alone lower domestic sugar production to make her sweets qualify for rule of origin preferentials. JPM should not entertain unfair practives by Kenya. Time to babysit Kenya is over ban all Kenyan products from entering Tanzania. It's time for tit for tat.


The heading supposed to read #barring#
 
When beaten at competition, just like gas n cereals! Now our beers r causing a mayhem in middle income country.
 
Political maturity is needed to resolve this matter
 
Yaani local beer huko Kenya inauzwa bei kubwa hivyo 3000 huku unapata Heineken au windhoek 😀😀


Ndiyo maana vijana huko wanalewa gongo ya kule tarakea
 
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