Retailers are seeking the go-ahead to publish the names and pictures of persons caught shoplifting in their stores in a bid to reduce an estimated annual loss estimated about Sh5 billion.
In a report presented to the State department of Trade, they are also advocating for regulations that will facilitate administration of effective justice on the petty criminals and their networks.
The report forms the basis for ongoing review of the National Trade Policy.
The retailers say in the Study on Kenya Retail Sector Prompt Payment that revenue loss related to shoplifting is one of the leading factors contributing to the rising debt to suppliers.
They complain of an existing cartel of petty offenders who although caught on a regular basis, always find a way out and come back to steal.
“The retailers make arrests of shoplifters and hand them over to the police. However, soon after the arrest, the shoplifter is released on bond and the case takes ages to be finalised,” the report, before Trade PS Chris Kiptoo, states.
There are also cases where the shoplifters buy their freedom through corrupt means, the report adds. This, the retailers argue, leaves them exposed, with lost goods undermining their cash flow, hence contributing to delayed payments.
The Kenya Retail Analysis report, launched in July 2016, showed the country’s key retailers were losing up to Sh3.5 billion annually to pilferage, with the entire retail sector estimated to incur about Sh5 billion.
The sector is dominated by indigenous supermarket chains, including Nakumatt, Naivas, Tuskys, Uchumi and Chandarana.
Despite the increased investment in closed-circuit television cameras and radio frequency tags to detect goods that have not been paid for, the retailers have struggled to mitigate the pilferage in the sector. Nakumatt and Tuskys, for example, said they lost more than Sh100 million each to shoplifters in 2015. This led to sacking of 107 staff at Tuskys after they were allegedly implicated in colluding with gangs to facilitate theft at Embakasi and Beba Beba stores.
Kiptoo last October said the review of the national trade policy was aimed at addressing challenges facing the retail and wholesale sector, including late payment of suppliers. Although the issue of late payment is not unique to Kenya, the country lacks a legal framework to combat the delays.