A group has warned that if MPs pass the Finance Bill 2023, maize flour prices will rise in the coming weeks.
According to the Kenya Association of Manufacturers (KAM), the planned 10% levy on kraft paper will raise unga costs.
Kraft liner is a type of packaging paper that is used to package staple foods and other items.
“The proposed levy will have a direct negative impact of increasing the cost of packaging Unga,” the Kenya Association of Manufacturers (KAM) said in a statement.
“This will increase the cost of unga for consumers and comes at a time when mwananchi is unable to put up with the inflated cost,” KAM added.
This comes at a time when Kenyans are complaining of costly maize flour, making the staple meal for most households a luxury.
Currently, a two-kilo bag of Ndovu costs Sh189, Jogoo maize meal costs Sh208, Ajab maize flour costs Sh199, and Pembe maize meal costs Sh208.
Others are Soko Maize Meal (Sh207) and Raha Premium Kavagara (Sh262).
Additionally, the bill also proposes an excise tax of Sh5 per kilo on sugar, which will lead to exorbitant prices.
Currently, a two-kilogram bag of Kabras now retails for over Sh420.
Sugar prices have been rising in the country amid low production attributed to a prolonged drought that has battered the country.
