NAIROBI, Jan. 4 (Xinhua) -- Kenya has formally ended over two decades of protection for its sugar industry and will now allow cheap sugar imports from the Common Market for Eastern and Southern Africa (COMESA), Africa's largest trading bloc, a government regulatory body said Sunday.
The Kenya Sugar Board (KSB) said that the government has formally exited the COMESA Sugar Safeguard regime after 24 years, marking a decisive transition for the country's sugar industry.
"Kenya now enters a new phase defined by competitiveness, value addition, regional integration, and sustainable growth, supported by a clear policy framework and a restructured private-sector-led industry," Kenya Sugar Board Chief Executive Officer Jude Chesire said in a statement issued in Nairobi, the capital of Kenya.
Under the new policy, there is no limit on duty-free sugar imports from COMESA countries.
Chesire said the government was fully committed to safeguarding farmer livelihoods, supporting miller viability, and ensuring food security, price stability and long-term growth of the sugar sector within the COMESA Free Trade Area.
According to the KSB, Kenya's sugar sub sector has recorded strong recovery and growth with sugarcane acreage expanding by 19.4 percent to 289,631 hectares supported by favourable rainfall patterns, improved access to certified seed cane, and targeted fertilizer subsidy interventions.
Chesire said sugar production increased by more than 70 percent, from 472,773 metric tonnes in 2022 to 815,454 metric tonnes now, reflecting improved farm productivity and factory efficiencies.
According to the KSB, the current national sugar demand stands at about 1.1 million metric tonnes annually.
"While domestic production has made significant gains and is increasingly aligned with national consumption, miller capacity expansion, factory rehabilitation, and newly leased mills will require time to fully optimize operations," Chesire said.
He said the sector which supports 250,000 direct jobs and nearly six million livelihoods remains sensitive to climatic conditions.
The medium-term outlook for the sector remains strong, Chesire said, noting that as miller capacity expands and farm productivity continues to improve, Kenya is projected to not only meet domestic demand but to attain and surpass self-sufficiency in the medium term, positioning the country for surplus production and regional export competitiveness. ■