The government has given maize importers 2 more months to import duty-free maize in a bid to ease shortage of the cereal that has pushed up the cost of maize flour.
Moreover, in May, the National Treasury Cabinet Secretary Ukur Yatani suspended import tax on maize.
The suspension was to increase imports from outside the East African Community (EAC) in a bid to ease pressure on maize flour prices.
Furthermore, the Treasury CS opened a three-month window for importers to bring in up to 540,000 metric tonnes of duty-free maize.
The deadline for duty-free importation was initially August 6.
However, importers raised complaints that the initial window was too short to allow them ship maize from overseas.
They further argued that the duty-waiver would not achieve much because the ships loaded with the product would dock after the window had closed.
Nonetheless, Mr Yatani has now extended the window for two more months until September 30.
The extension will enable maize importers who had ordered their produce time to bring it into the country.
“It is notified for the general information of the public that, upon recommendation by the Cabinet Secretary for Agriculture, the Cabinet Secretary for the National Treasury amends the Gazette Notice No. 5544 of May 9, 2022 by deleting the words “August 6, 2022” and substituting therefor the words “September 30, 2022,” Mr Yatani said in a gazette notice.
Moreover, Kenya imports maize from the EAC, mostly Uganda and Tanzania duty-free. However, imports from countries that are not members of the EAC or the Common Market for Eastern and Southern Africa (Comesa) import at 50 percent tariff.
In addition, the country has experienced maize shortage owing to low local production due to drought.
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Likewise, lower imports from overseas following the Russia-Ukraine war that affected global shipments of cereals also contributed to the shortage.
Consequently, the hike in food prices coupled with record-high fuel prices have pushed inflation to increase to 8.3 per cent this month.
