The Lower Eastern Times Opening The Third Eye
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Agriculture Cabinet Secretary Mutahi Kagwe has defended the decision requiring sugar millers and importers to pay a 4 percent sugar development levy.
Speaking before the Senate Committee on Delegated Legislation on Thursday, Kagwe explained that the levy is meant to support the growth of the sugar industry, facilitate a shift to quality-based cane payments, and boost investment in research.
According to the Sugar Act, 2024, the levy will be charged differently depending on the source: local millers will be assessed on the ex-factory price, while importers will be charged based on the CIF value of consignments.
The Kenya Revenue Authority (KRA) will collect the levy, which will be directed into the Sugar Development Fund.
The Senate Committee will now review the Ministry’s proposals alongside feedback from industry stakeholders before deciding whether to uphold the 4 percent rate or adjust it.
