Struggling Kenyans are destined to further impoverishment as the taxman and city authorities move to levy on cereals delivered to millers around the city.
According to Kenya Revenue Authority (KRA) the market levy would be imposed on cereals shipped to various millers’ sites in Nairobi.
In a letter to the Cereal Millers Association (CMA), KRA Deputy Commissioner in charge of Nairobi County Revenue Division Annastaciah Githumba said collection of the levies would be undertaken by KRA officers.
“Please take note that KRA and the Nairobi County government shall with effect from Wednesday, March 1, 2022 at 7am in the morning, commence collection of cess on cereals from produce being brought into your members’ premises,” said Githumba.
Millers are already dealing with inter-county hurdles, since they must pay cess in multiple counties while transporting grains to Nairobi.
The official figures, in the Rift Valley grain basket supplies more than 90 per cent of the corn processed in Nairobi.
They must also pay various fees imposed by counties, such as distribution and branding permits, which millers must pay whenever they travel to counties other than their own.
The decision was made following multiple meetings between KRA and the association late last year, according to Githumba. In Kenya, the group represents wheat, maize and other grain millers.
Through mills in Mombasa, Machakos, Mwingi, Kitui, Nairobi, Thika, Nakuru, Uasin Gishu, Kitale, and Kisumu, among others, CMA reaches over 10 million maize flour customers and over 30 million wheat flour consumers.