Tuesday, September 22, 2015

Publishers seek State nod to increase textbook prices

Corporate News
Kenya Publishers Association chairman David Waweru. PHOTO | EVANS HABIL
Kenya Publishers Association chairman David Waweru. PHOTO | EVANS HABIL  
By DAVID HERBLING
In Summary
  • The Kenya Publishers Association (KPA) says the price increase is intended to cover rising operating costs attributed mainly to the weakening shilling.

Parents face higher price tags for textbooks if the government accepts publishers’ push for an increase to the cost of school books.
The publishers say the price increase is intended to cover rising operating costs attributed mainly to the weakening shilling.
The Kenya Publishers Association (KPA) on Monday said the depreciation of the local currency had raised the cost of producing books, given that they import most of their inputs such as paper, ink, glue and printing machinery parts.
KPA – the publishing industry lobby –said the cost of publishing had also gone up by about 30 per cent due higher energy costs, and is proposing to pass on this cost to consumers.
Increases in prices of approved school books in Kenya – known as the Orange book – have to be sanctioned by the Ministry of Education.
“We have already written to them. We import all the key inputs in the publishing industry and the cost of these inputs has gone up significantly,” said KPA chairman David Waweru.
“It is unfortunate that the costs of books will go up,” said Mr Waweru, who is also the chief executive Officer, Word Alive Publishers.
The government pays fees for more than 10 million pupils in primary schools and about 2.1 million students in secondary schools. Primary school pupils are allocated Sh1,400 each by the government while secondary students get a grant of Sh10,265 per student.
A total of Sh670 is budgeted for each primary school pupil to cater for textbooks, instruction materials and preparation of internal tests.
The impending increase in school book prices comes as a big blow to parents who will have to dig deeper to buy other supplies such as school uniforms, toiletries and stationery.
The government in December 2013 allowed publishers to increase prices of school books by 14 per cent, to adjust for inflation.
This was further compounded by the introduction of value added tax (VAT) on text books in September 2013, a cost that publishers swiftly passed on to parents and guardians. Textbooks and all published materials such as newspapers were previously zero-rated.
Mr Waweru said Kenya’s book industry is valued at Sh12 billion – the total turnover for publishers last year – with textbooks accounting for 85 per cent of total sales.
The publishers said bulk orders by distributors and booksellers stocking up ahead of the New Year had slowed down due to anxiety over last week’s indefinite closure of all schools.

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