The Small and Medium Liquor Traders Association (MELTA) has warned that proposed alcohol regulations by the National Authority for the Campaign Against Alcohol and Drug Abuse (NACADA) could lead to massive job losses and business closures across Kenya.
The association argues that some of the proposed restrictions under the 2025 National Policy on Alcohol, Drugs and Substance Abuse could undermine the livelihoods of millions of Kenyans who depend on the liquor and hospitality industry.
While acknowledging the importance of measures such as monitoring alcohol outlets, public education, rehabilitation programmes and safeguards for persons with disabilities (PWDs) and vulnerable groups, MELTA has raised concerns over specific provisions it says could negatively affect businesses.
One of its major concerns is the proposed increase in the legal drinking age from 18 to 21 years. According to the association, adults aged between 18 and 20 account for approximately 80 per cent of the workforce in the liquor and hospitality industry.
MELTA claims that more than two million people within this age bracket earn their livelihoods from alcohol-related businesses, citing figures from a 2024 liquor industry database.
The association’s chairman, Frank Mbogo, said raising the drinking age could leave thousands of workers without employment opportunities at a time when Kenya is struggling with unemployment.
He further warned that the restriction could encourage some consumers and traders to turn to illicit and substandard alcohol, potentially undermining government efforts to combat the circulation of dangerous third-generation spirits.
MELTA also questioned the proposed restriction prohibiting alcohol outlets from operating within 300 metres of learning institutions, places of worship and residential areas.
Speaking during a press briefing in Nairobi, Mbogo argued that implementing the distance requirement in densely populated urban centres could make it difficult for many licensed businesses to remain operational.
“The proposed rule on prohibiting alcohol outlets from operating within 300 metres from learning institutions, places of worship and residential areas is definitely going to hurt businesses and subsequently lead to their total shutdown, especially in metropolitan areas like Nairobi,” he said.
Mbogo, a former member of the Kenya Liquor Licensing Board, noted that the limited space between buildings in major towns could make compliance particularly challenging for small and medium-sized traders.
The association has also opposed the proposed ban on online alcohol sales and home deliveries, warning that the restriction could disrupt businesses that have invested in digital platforms and delivery services.
According to MELTA, many small and micro-enterprise operators have borrowed money from financial institutions to purchase motorcycles used to deliver orders to customers.
The association warned that stopping home deliveries could leave these operators unable to repay their loans while depriving them of their primary sources of income.
“Will this be uplifting our small and micro businesses in the liquor industry or sinking them to a bottomless pit of annihilation?” Mbogo posed.
MELTA said the restrictions could also undermine the government’s commitment to creating more than 500,000 jobs annually, particularly by affecting entrepreneurs and workers who depend on small businesses.
The association has consequently called on NACADA and the national government to conduct a comprehensive economic impact assessment before implementing the proposed measures.
It wants the authority to engage industry stakeholders, including liquor traders, to establish regulations that balance public health concerns with the need to protect businesses and employment opportunities.
MELTA maintained that it supports responsible alcohol consumption and efforts to address substance abuse but insisted that policies should not unnecessarily destroy legitimate businesses.
The association said it remains willing to collaborate with NACADA and other stakeholders in developing solutions that promote public health, accountability and economic sustainability.
