Win for Gov't as court okays rice importation, restricts quantity to 250K metric tonnes

Audio By Carbonatix
The government has been granted temporary relief to import duty-free
milled rice into the country.
The High Court lifted the conservatory orders barring the importation of
the commodity but restricted the quantity of rice to be imported to only
250,000 metric tonnes, to last for three months.
Kerugoya Law Court Judge Justice Murithi, in delivering his ruling,
said, "The respondents shall implement the Kenya Gazette Notice to the
extent only of importation of 250,000 MT of rice and for the period ending
Friday 31st October 2025."
The judge directed that the government avails in court a detailed report
proving claims of rice scarcity in the country.
In opposing the gazette notice for the importation of 500,000 metric
tonnes of rice, the petitioners argued that local rice farmers will suffer
losses should importers be allowed to flood the local market with cheap,
duty-free rice.
The government insists on the importation on the grounds that it is
bridging a huge rice shortage in the country, which has already pushed prices
to Ksh.230 per kilogram, up from Ksh.150 per kilogram.
The High Court temporarily stopped the duty-free importation on August
11 after an application was filed seeking to block the move.
Farmers also opposed the move, citing that it would affect the local
produce that is stored at Mwea Rice Growers Multi-Purpose Cooperative Society
(MRGM) stores.
However, Agriculture Cabinet Secretary
Mutahi Kagwe defended the importation, warning of a
possible spike in prices and an acute rice shortage if the courts upheld the
petition seeking to block the importation of 500,000 metric tonnes (MT)
of duty-free rice.
In his affidavit, CS Kagwe argued that blocking the duty-free
imports would see household consumers and critical public institutions facing
severe shortages, spiking food prices and further crippling the
cost-of-living crisis.
“The importation is necessary to stabilise prices and avert a potential
food crisis,” Kagwe said.
According to the CS, Kenya’s annual demand for rice stands at about 1.3
million MT against a domestic production of just 20pc, leaving a deficit of
more than 80pc, roughly 1 million MT, that is bridged mainly through imports.
He intimated that the current retail price of Grade 1 milled white rice
has already surged to between Ksh.190 and Ksh.220 per kilogram, a steep rise
from last year’s duty-free period average of Ksh.150 per kilogram.
Likewise, Kagwe added that projections show that Kenya’s rice
consumption per capita in 2025 is expected to reach 29 kilograms, with the
population estimated at 54.79 million.
This translates
to a national requirement of about 1.5 million MT of rice for the year, or
roughly 125,000 MT per month, meaning that Kenya will need about 625,000 MT
between July and December 2025 alone.
Leave a Comment