81.4 Tonnes of Kenyan Miraa Lands in Somalia

By Jane Muia / Published August 1, 2022 | 10:26 am




KEY POINTS

Miraa traders started receiving export licenses last week after seeking clearance under the new regulation which requires them to be licensed and obtain a permit for every consignment, which is supposed to be issued by the Agriculture and Food Authority (AFA).


Miraa

KEY TAKEAWAYS


Kenya is now eyeing European countries for the export of the commodity after the stimulant was banned in these countries in 2014 after it was classified as a drug.

Over the year, Mogadishu has grown into a critical market for Kenyan Miraa traders accounting for 90 percent of the exports. Other markets include Mozambique, Djibouti, and Malawi.


Kenya has exported 81.4 tonnes of miraa worth 221 million shillings to Somalia since the trade of the stimulant between the two countries resumed.

“We have so far exported 81.4 tonnes in the last four days and we expect the volumes to grow in the next coming days as more people are cleared to ship out the commodity,” head of the miraa pyrethrum and other Industrial crops Felix Mutwiri Said.

Mutwiri noted that 19 traders have so far been cleared to export the commodity in line with the (Crop)  miraa regulation Act 2021, with more traders seeking licenses to export the stimulant.

However, prices of the commodity in the vast Somalia markets have declined compared with those fetched before the market was halted. Somalia is now buying a kilo of miraa at $23 (2,734 shillings) lower than the  $25 (Sh2,972 shillings) fetched before the market stopped.

Miraa traders started receiving export licenses last week after seeking clearance under the new regulation which requires them to be licensed and obtain a permit for every consignment, which is supposed to be issued by the Agriculture and Food Authority (AFA).

The (Crop)  miraa regulation Act 2021 stipulates that Miraa exporters will be registered in 30 days upon payment of 20,000 shillings for an exporter’s license and 2,000 shillings for an exporter’s permit, failure to which they will be liable to a fine of not more than 5 million shillings or three-year imprisonment, or both.

Kenya is now competing with Ethiopia in supplying the commodity to Somalia. Ethiopia has been supplying Somalia with the commodity since Kenya was kicked out of the market. Since the ban was imposed, Kenya has been relying on local miniature markets making farmers who rely on the crop as their main economic mainstay unable to get enough profit. This further affected the economy of the Mount Kenya region, especially Meru where the crop is mostly grown.

Kenya is now eyeing European countries for the export of the commodity after the stimulant was banned in these countries in 2014 after it was classified as a drug.

Over the year, Mogadishu has grown into a critical market for Kenyan Miraa traders accounting for 90 percent of the exports. Other markets include Mozambique, Djibouti, and Malawi.

Related Content: Kenya Finally Exports First Batch of Miraa to Somalia






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