Monday, December 31, 2018

Kenya's sugar imports increased ahead of the festive season

sugar mombasa port Sugar being offloaded at the Mombasa port. FILE PHOTO | NMG 
GERALD ANDAE

Summary

    • In May last year, the country opened a duty free window for imports, flooding the market with cheap sugar.
    • The move was occasioned by the shortage of the commodity
    • Sugar imports from Uganda have been going up in the recent months following improved production in the neighbouring country.
Sugar imports in November grew by 107 percent compared with the same period last year, as more traders shipped in the commodity ahead of the festive season.
The latest data from the Sugar Directorate indicates the volume of the commodity imported by various traders rose to 39,752 tonnes in the review period from 19,192 tonnes the year before.
During the month, table sugar accounted for 17,917 tonnes of total imports, while industrial sweetener stood at 21,835 tonnes.
Local production in November was almost on a par with the imports, standing at 38,768 tonnes as factories recorded improved performance during the period.
Cumulatively, sugar production in January to November 2018 was 450,335 tonnes compared with 327,211 tonnes in the same period last year.
“This is an indication that the sugar industry is recovering from the severity of the drought suffered last year, which had reduced sugar production,” says the report.
Cheap sugar
In May last year, the country opened a duty free window for imports, flooding the market with cheap sugar.
The move was occasioned by the shortage of the commodity following the drought that cut the supply of sugarcane to the factories.
In November, the Common Market for Eastern and Southern Africa (Comesa) countries supplied Kenya with 19,234 tonnes.
The EAC provided some 6,129 tonnes all the consignments being from Uganda, whereas the rest of the world’s exports to Kenya were 11,129 tonnes.
Sugar imports from Uganda have been going up in the recent months following improved production in the neighbouring country.

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