This archive report was first published on 19 June 2020.
On June 19, 2020, the Competition Authority of Kenya (CAK) issued a statement regarding four Kenyan supermarkets that have been placed on the watch list due to complaints from suppliers.
The four supermarkets have failed to honour payment agreements for over 90 days, prompting the CAK to take action.
According to CAK Director General Wang'ombe Kariuki, three of the retailers have presented payment plans to settle their outstanding amounts within 60 days.
CAK has issued prudential and reporting orders to one retailer who failed to present a payment plan or evidence of negotiations with the affected suppliers.
The move comes as the retail sector continues to face challenges, particularly in the wake of the Covid-19 pandemic.
As reported in a letter to the Kenya Association of Manufacturers (KAM), Tuskys supermarket management has been struggling to meet its payments during the pandemic.
However, Tuskys has assured suppliers that it has continued with repayments scheduled in April and has progressively released them in May and June.
