- KRA seizes 52.5 tonnes of suspected smuggled sugar traced to Somalia in Marsabit.
- The consignment attracts Ksh34.3 million in taxes and penalties.
- Investigations target the owners of the sugar, transporters and storage facility as the two lorries remain impounded.
Kenya Revenue Authority (KRA) officers stopped two lorries carrying about 2,100 bags of sugar from Somalia in Marsabit town at around 3 am on November 5. Workers were still offloading the load at a store when the officers moved in. Each bag weighed 25 kilogrammes, so the haul came to 52.5 metric tonnes.
Enforcement Chief Mohamed M’maka said a business intelligence field team from the North Central Region received a tip at about 12.30pm on November 4, 2026. Officers then watched the movement of both vehicles until they reached the town.
M’maka estimated the sugar at Ksh 6.41 million wholesale and Ksh 7.9 million at retail prices. Taxes of Ksh 10.14 million were also evaded. That sum covers import duty at 100 per cent for goods from outside the East African Community, excise duty of Ksh 40 per kilogramme under the Finance Act of 2026, and VAT at 16 per cent. It also includes the Sugar Development Levy at 4 per cent, an import declaration fee of 3.5 per cent and the Railway Development Levy at 2 per cent.
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A penalty applies on top of the taxes. Ksh 460 is charged for each kilogramme of illegal sugar seized, which comes to Ksh 24.2 million in this case. Together with the taxes, the exposure reaches Ksh 34.3 million. The sugar and both lorries are also liable to forfeiture.
Both vehicles and the consignment remain in KRA custody. M’maka said investigators are preparing legal action against the owners of the goods, the transporters and the store owner.
Intelligence gathered so far points to a coordinated logistics chain. Under that arrangement, the sugar was moved from Somalia to a storage point in Marsabit, apparently to dodge detection and feed local markets. Moving uncustomed goods is an offence under the East African Community Customs Management Act of 2004. Offenders risk losing their cargo and vehicles, paying fines and facing prosecution. The Ksh 460 charge was added to the law to discourage sugar smuggling and shield local producers.
By our reporter
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