In the past marketing year of 2022/2023, Kenya has witnessed a significant shift in its maize import dynamics, with imports from Tanzania plummeting to 63 percent of the total grain imports, down from 97 percent in the previous year. This shift has been attributed to the imposition of non-tariff barriers by Tanzania, as highlighted in a recent report by the US Department of Agriculture (USDA).
According to the USDA report, Kenyan traders diversified their sources of maize imports to countries such as Zambia, Uganda, and South Africa, in response to the export restrictions imposed by Dodoma.
The Tanzanian restrictions, primarily in the form of stringent export certification requirements, have hindered the smooth flow of maize exports to Kenya.
The report notes a notable increase in maize imports from non-traditional sources, with imports from Zambia and South Africa surging to 13 percent and 10 percent, respectively, from negligible figures in the previous year.
Meanwhile, maize imports from Uganda also saw a significant uptick, constituting five percent of the total imports.
In absolute terms, the decline in maize imports from Tanzania stands stark, with a 41.78 percent decrease to 412,755 tonnes in the 2022/2023 marketing year, compared to 708,978 tonnes in the preceding year—a staggering 97 percent decline.
Conversely, imports from Zambia soared eightfold to 88,050 tonnes, while imports from South Africa witnessed a remarkable increase of 2,218.94 percent, reaching 64,513 tonnes. Similarly, imports from Uganda surged by 1,215.7 percent to 34,590 tonnes.
The shift in maize import patterns comes against the backdrop of Kenya’s import duty framework, with a steep ad-valorem duty of 50 percent imposed on maize from non-EAC (East African Community) countries, in alignment with the EAC Common External Tariff.
Maize imported from EAC member states enjoys duty-free access, further influencing trade dynamics within the region.
By xamse
April 22, 2024
