Miraa farmers have claimed that the lifting of a ban on exports to Somalia has spawned a cabal of cartels, which they say are benefiting from a levy charged at the airport.
Somalia on July 15 lifted the ban on the stimulant imposed in March 2020, a move that was celebrated by thousands of farmers who had been losing at least Sh16 million daily.
But farmers said there were still bottlenecks in the sector because of bureaucracy that has impeded recovery, demanding the “illegal” fees be scrapped.
Farmers are charged $2.6 (Sh313) per kilo of the stimulant exported to Somalia, thus increasing the cost of the product in the market, argued Miraa Growers and Traders Cooperative Union chairman Moses Lichoro.
“It is not clear why we are paying this money and to whom. Nobody has explained the origin of the levy but according to our investigations, there is a cartel benefiting from it because the charge was introduced after the ban was lifted,” Mr Lichoro said.
He urged the Agriculture ministry to review rules published by Cabinet Secretary Peter Munya two months ago, saying they would hurt farmers.
Mr Munya published the rules in a Special Kenya Gazette notice on June 9, but he faced opposition from sector players, forcing him to retract some of the provisions, which included a levy of Sh30 per kilo of exported khat. The levies were to be paid to the Agriculture and Food Authority (AFA).
Operators’ premises
Under the rules, transporters and vendors are required to have fee-less permits, which are issued if the authorities are satisfied that the operators’ premises are in designated and properly marked areas to be used exclusively for sale of miraa. The premises should not be located within 100 metres of a learning institution.
On transportation, the rules state: “Miraa shall not be stored or transported together with other produce which may contaminate it or otherwise adversely affect its quality.
“A vessel used for transportation of miraa shall be built and equipped to ensure maintenance of optimal temperatures and hygiene to prevent damage, contamination and spoilage of produce.”
But Mr Lochoro said: “Some of these regulations are not favourable to the farmer and we want them reviewed.”
Mr Felix Mugambi, head of the Miraa, Pyrethrum and Industrial Crops Directorate at the AFA, was not available for comment by press time. BY DAILY NATION