This archive report was first published on 28 August 2019.
On August 28, 2019, the Kenya Association of Manufacturers (KAM) urged the government to block the importation of unprocessed edible oil worth Sh10 billion, which was brought into the country in May 2018.
The lobby group argued that allowing the cheaper unfortified oil into the market would expose local manufacturers to unfair competition, as they incur extra costs to buy the commodity as required by law.
According to Kenya Bureau of Standards (Kebs) specifications, only fortified oil should be imported. The manufacturers claimed that the cheaper oil would distort the market and give an unfair advantage to the imported edible oil.
Trade Secretary Peter Munya had previously defended his decision to release the oil, stating that it was safe for consumption. However, Kebs stood its ground, saying no unfortified edible oil consignment had been released into the market since May 2018.
The oil importers have enjoyed heightened sales since the Multi-Agency Taskforce launched its nationwide crackdown on counterfeit and fake products, with some clearing and forwarding agents obtaining conservatory orders blocking the reshipment of the consignment.
Kenya Association of Manufacturers (KAM) urged the government to take swift action to prevent market distortion and ensure that any duties imposed on the oil are paid.
