The Ministry of Agriculture and Livestock Development has announced the implementation of the Sugar Development Levy, which came into effect on July 1, 2025.
In a public notice issued by the State Department for Agriculture, the levy will be charged at a rate of four per cent.
Locally manufactured sugar will attract the levy based on its ex-factory price, while imported sugar will be levied on its cost, insurance, and freight (CIF) value per consignment.
All sugar millers are required to remit the levy by the tenth day of the month following the sale of domestic sugar or the importation of sugar.
The Kenya Revenue Authority (KRA) has been appointed as the official collection agent for the levy, with further guidance on the mode of collection expected from the agency.
Stakeholders and members of the public with inquiries have been directed to contact the Principal Secretary, State Department for Agriculture, or the Chief Executive Officer of the Kenya Sugar Board.
The new levy is part of ongoing efforts to revitalise Kenya’s sugar industry and improve sector sustainability under the Vision 2030 development agenda.