Kenyan poultry farmers lament over double taxation, rising costs

KENYA – Poultry farmers from Mombasa and surrounding counties are pressing the Council of Governors (CoG) to resolve issues surrounding double taxation, saying varied tax policies between counties are inflating their operational costs and affecting their ability to compete in local markets.

The farmers claim tax rates differ widely across counties, leading to duplicate charges when poultry products are transported across borders. 

In Mombasa County, for instance, farmers face multiple fees, including inspection charges, per-head offloading fees for live chickens, transportation certificates, and annual permits based on flock size. 

The cumulative expenses, they say, are hitting small-scale farmers especially hard.

“Feed, medicine, and operational costs are already up,” said Moses Kilonzo, a poultry farmer from Mombasa.

“Adding these unpredictable taxes creates even more pressure on us.”

Farmers are calling for standardised tax policies across counties to reduce these challenges. 

According to Timothy Mulwa, Chairperson of the Poultry Breeders Association of Kenya, the association has raised the issue with officials from Mombasa County, the Kenya Association of Manufacturers, and the Ministry of Agriculture. 

The Kiambu Poultry Farmers Cooperative also voiced support for unified tax policies, warning that inconsistent taxes across counties are harming both the poultry industry and food security.

A CoG spokesperson acknowledged the complaints, noting that efforts are underway to harmonize taxation across counties to promote fair trade while respecting each county’s authority.

Poultry farmers across Kenya face further challenges, which they say are undermining industry growth. 

Recently, Nairobi poultry farmers expressed concern over what they describe as cartel control at the City Market, where monopolistic practices are reportedly undercutting their earnings. 

Farmers claim that powerful intermediaries dictate prices, forcing them to sell at rates that barely cover production costs.

Kenya’s poultry production has been declining in recent years, falling from around 131,700 metric tons in 2018 to approximately 69,200 metric tons in 2020, leaving farmers uncertain about the industry’s future.

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