Brookside Accuses Kenya of Restricting Uganda Milk Imports
Source: DairyNews.today
Brookside Uganda has raised concerns over the alleged discriminatory issuance of import permits by Kenyan authorities, claiming that the Kenya Dairy Board (KDB) is selectively approving the necessary documentation required for the entry of its milk products into the Kenyan market.
The company, which is part of the Kenyatta-owned Brookside group, specifically accuses the KDB of unfairly blocking its Dairy Fresh brand fr om entering Kenya, while other Ugandan brands such as Lato and Dairy Top are reportedly granted permits without issue.
Margaret Kibogy, the Managing Director of the Kenya Dairy Board, dismissed these allegations, asserting that trade between Kenya and Uganda remains unimpeded. However, Brookside contends that despite applying for 114 export permits, it has yet to receive any response from the KDB, despite repeated follow-ups.
Traders in the Rift Valley and Western Kenya regions have corroborated Brookside's claims, noting the availability of other Ugandan milk brands in local markets. Industry insiders suggest that the KDB has allowed the importation of these competing brands while denying similar permits to Brookside, raising concerns about potential biases in the permit issuance process.
Simon Gathuita, a wholesaler in Nakuru, expressed frustration over the situation, stating, "Consumers are asking why we no longer stock Uganda’s Fresh Dairy products, but we are telling them we are not receiving any supplies from Kampala."
Brookside Limited’s General Manager in Kampala, Benson Mwangi, emphasized the company's commitment to the dairy industry, both in Uganda and Kenya, and expressed optimism that the ongoing trade barriers will be resolved. "We are optimistic that the KDB will soon implement the provisions of the communiqué signed by our two heads of state on May 17, which would resolve the impasse and allow us to resume exporting our products to Kenya," Mwangi stated.
The ongoing trade tensions between Kenya and Uganda, particularly in the dairy sector, have been a recurring issue, often attributed to protectionist policies. Despite Kenya being Uganda's largest trading partner in the region, these non-tariff barriers continue to strain relations and lim it the full potential of trade between the two nations.
In May 2024, during a visit by Ugandan President Yoweri Museveni to Kenya, both countries committed to strengthening bilateral relations and addressing trade challenges. However, despite these commitments, the Kenya Dairy Board has reportedly remained unresponsive on the matter of Ugandan dairy imports, with officials declining to comment further.
According to the Kenya Economic Survey 2024, Kenya's exports to Uganda reached KSh 126.3 billion last year, up from KSh 97.2 billion the previous year. Meanwhile, imports from Uganda were valued at KSh 41.2 billion, reflecting a modest increase from KSh 39.9 billion in 2023.
As the standoff continues, traders and industry stakeholders are urging the governments of both countries to resolve the issue swiftly, ensuring a fair and transparent trade environment that benefits producers and consumers alike.
Margaret Kibogy, the Managing Director of the Kenya Dairy Board, dismissed these allegations, asserting that trade between Kenya and Uganda remains unimpeded. However, Brookside contends that despite applying for 114 export permits, it has yet to receive any response from the KDB, despite repeated follow-ups.
Traders in the Rift Valley and Western Kenya regions have corroborated Brookside's claims, noting the availability of other Ugandan milk brands in local markets. Industry insiders suggest that the KDB has allowed the importation of these competing brands while denying similar permits to Brookside, raising concerns about potential biases in the permit issuance process.
Simon Gathuita, a wholesaler in Nakuru, expressed frustration over the situation, stating, "Consumers are asking why we no longer stock Uganda’s Fresh Dairy products, but we are telling them we are not receiving any supplies from Kampala."
Brookside Limited’s General Manager in Kampala, Benson Mwangi, emphasized the company's commitment to the dairy industry, both in Uganda and Kenya, and expressed optimism that the ongoing trade barriers will be resolved. "We are optimistic that the KDB will soon implement the provisions of the communiqué signed by our two heads of state on May 17, which would resolve the impasse and allow us to resume exporting our products to Kenya," Mwangi stated.
The ongoing trade tensions between Kenya and Uganda, particularly in the dairy sector, have been a recurring issue, often attributed to protectionist policies. Despite Kenya being Uganda's largest trading partner in the region, these non-tariff barriers continue to strain relations and lim it the full potential of trade between the two nations.
In May 2024, during a visit by Ugandan President Yoweri Museveni to Kenya, both countries committed to strengthening bilateral relations and addressing trade challenges. However, despite these commitments, the Kenya Dairy Board has reportedly remained unresponsive on the matter of Ugandan dairy imports, with officials declining to comment further.
According to the Kenya Economic Survey 2024, Kenya's exports to Uganda reached KSh 126.3 billion last year, up from KSh 97.2 billion the previous year. Meanwhile, imports from Uganda were valued at KSh 41.2 billion, reflecting a modest increase from KSh 39.9 billion in 2023.
As the standoff continues, traders and industry stakeholders are urging the governments of both countries to resolve the issue swiftly, ensuring a fair and transparent trade environment that benefits producers and consumers alike.
