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Mombasa High Court Halts Policy Proposal to Remove 35.0% Duty on Refined Edible Oil

Patricia Mutua by Patricia Mutua
July 21, 2023
in News
Reading Time: 1 min read

The High Court in Mombasa has issued an injunction, preventing Treasury Cabinet Secretary Njuguna Ndung’u from implementing a proposal to remove the 35.0% duty on refined edible oil. The directive was given by Judge Olga Sewe in response to Julius Ogogoh’s application, which contested the implementation of the new policy.

Read more: Kenya Acknowledged as a Major Importer of Malaysian Palm Oil

Despite protests from the Attorney-General’s office, which claimed that it had not been properly served with court documents, the order halting the policy’s implementation was issued. The proposed policy aimed to remove the 35.0% duty on edible oils and replace it with a 10.0% Export and Investment Promotion Levy to support local manufacturing in the edible oil value chain. Julius Ogogoh, who sought to block the proposal, argued that it would adversely affect businesses and the local food manufacturing industry. He deemed the Trade CS’s actions arbitrary, ill-advised, and malicious, calling for the court to quash the proposal to prevent further harm.

Read more: KEBS Suspends 10 Cooking Oil Brands

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Mr. Ogogoh emphasized that the proposed tax regime would directly impact the pricing of refined edible oils in the local market, leading to an increased cost of living for citizens. The applicant stressed the importance of public participation and adherence to natural justice principles in all decisions made by public bodies and officers. The case will be mentioned on September 27 for further directions as the court examines the matter and its implications in detail.

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