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Kenya lifts import levies on nuts for select businesses

The Ministry of Agriculture, through the Agriculture and Food Authority (AFA), has announced the removal of import levies on nuts for specific categories of businesses, a move aimed at boosting trade and supporting local processors.

In a statement issued on Tuesday, April 17, AFA Director General Bruno Linyiru confirmed that enterprises operating within Export Processing Zones (EPZs) and Special Economic Zones (SEZs) will now be exempt from paying import levies on nuts. The directive is expected to enhance the competitiveness of businesses that rely on imported raw materials for value addition and re-export.

Additionally, the exemption will apply to businesses importing nuts from East African Community (EAC) member states, including the Democratic Republic of Congo, Burundi, Rwanda, Somalia, South Sudan, Uganda, and Tanzania. The measure is designed to facilitate regional trade within the EAC bloc and ensure seamless movement of agricultural commodities.

This policy change follows the amendment of the Crops (Nuts and Oil Crops) Regulations, 2020. On February 14, 2025, Agriculture Cabinet Secretary Mutahi Kagwe issued Legal Notice No. 26, aligning the regulations with sections 101 and 102 of the Finance Act, 2023.

"The Agriculture and Food Authority is responsible for regulating, developing, and promoting the nuts sub-sector as per the Crops Act 2013 and AFA Act 2013," the statement read. "The amendment exempts nut produce and products imported by EPZ- and SEZ-based enterprises, and originating from the East African Community customs territory, from paying the import levy," Linyiru added.

The directive officially takes effect on April 17, 2025. The AFA has assured stakeholders that detailed implementation guidelines will follow and encouraged those affected to reach out for further clarification.

The announcement comes shortly after recent trade tensions in the region. On March 13, Sudan suspended all imports from Kenya amid political unrest. However, President William Ruto later confirmed during a March 31 interview that the ban had been reversed, easing trade relations between the two countries.

Kenya exports several agricultural goods to Sudan, including nuts and tea. The exemption of nut import levies could further support regional trade recovery and strengthen economic ties within the East African region.

Source: Kenyans