Sugar Campaign for Change (Sucam) coordinator Michael Arum /Faith Matete
Sugar cane farmers have welcomed Parliament's decision to increase the sugar import levy from Sh4 to Sh40 per kilogramme, saying the move could help revive Kenya's struggling sugar industry and protect local producers from unfair competition.
Through the Sugar Campaign for Change (Sucam), the farmers expressed support for the Finance Bill, 2026, which was passed by the National Assembly on June 18, and urged President William Ruto to assent to the legislation.
SUCAM coordinator Michael Arum said the adjustment would provide a long-awaited boost to a sector that supports millions of Kenyans directly and indirectly through farming, transportation, trade and factory operations.
"We appreciate the 122 members of Parliament who supported the Bill and stood with millions of Kenyans whose livelihoods depend on the sugar industry," Arum said in a statement.
The proposed levy increase has generated debate, with critics warning that higher import costs could translate into increased sugar prices for consumers.
However, farmers argue that historical trends do not support that claim.
According to Sucam, sugar prices have risen in the past despite increased imports.
The lobby group cited data showing Kenya imported nearly one million tonnes of sugar in 2017, yet retail prices increased to Sh132 per kilogramme from Sh115.60 the previous year, when imports were significantly lower.
Similarly, sugar imports nearly doubled between 2022 and 2023, but consumer prices rose from Sh140 to Sh196 per kilogramme over the same period.
The farmers maintain that import volumes alone do not determine retail sugar prices and protecting local production could strengthen the industry's long-term sustainability.
Sugar cane trucks at Chemelil Sugar Factory /Faith Matete
Sucam also dismissed concerns the levy increase could trigger retaliatory trade measures from countries within the Common Market for Eastern and Southern Africa (Comesa).
The lobby group argued that a significant proportion of Kenya's sugar imports originate from outside the Comesa Free Trade Area and pointed to countries such as Egypt, which have implemented restrictions on sugar imports to protect domestic producers.
Arum further noted Kenya's sugar sector remains vulnerable despite recent reforms, including the leasing of state-owned sugar factories to private investors.
He said the transition has disrupted support systems that farmers previously relied on, including extension services, coordinated harvesting programmes and out-grower institutions.
As a result, many farmers face challenges ranging from delayed harvesting and transportation bottlenecks to reduced returns caused by prolonged waits at factory weighbridges.
"Many farmers are increasingly exposed to production and marketing risks," Arum said, adding that complaints about delays and inadequate responses to farmers' concerns remain widespread.
He argued the sugar industry should be viewed as a strategic sector undergoing restructuring rather than being judged solely on whether it has outgrown the need for government protection.
The farmers now hope the proposed levy increase will help stabilise the industry, improve returns to growers and encourage greater investment in local sugar production.
