Kenya Losing Sh7 Billion to Mututho Law
The move to reduce operating hours for bars introduced under the Alcoholic Drinks Act is costing the country over Sh7b annually.
According to players in the sector, the laws have also seen a rise in illicit brews consumption.
The problem has been coupled by newly introduced fees and licences by county government targeting bar owners.
The bar owners from Nakuru County spoke in Naivasha during a visit to Keroche Breweries where they also praised the breweries CEO Tabitha Karanja for winning the Africa Businesswoman of the year award.
Keroche Breweries CEO Tabitha Karanja admitted that the alcohol laws were hurting the sector.
"The bar owners have confessed that the country is loosing an estimated Sh7b annually due to these laws," she said.
On new fees introduced under the devolved governments, Karanja said that industrialists were in negotiations with county governments over the impasse.
"Its not only the liquor sector that has been hurt by the new taxes and we are in negotiations with the Nakuru County government over the same," she said.
Nakuru County Bar Owners Association deputy chairman Stanley Kamau said that many businesses were contemplating closing down due to the high fees.
He noted that before the Mututho laws came into force, they were paying a fee of around Sh2,500 but this had risen to Sh56,000 per year.
"This sector is just like any other sector but we feel like we are being targeted unfairly and call for a review of these levies by county governments," he said. - standardmedia.co.ke
Comments
Hogwash. What about the
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Hogwash. What about the savings from reduced accidents, injuries and death and health problems !
+ broken marriages,
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#NAME?
Mr. Thuraku, I would hope
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Mr. Thuraku, I would hope that the savings from reduced accidents,injuries ...etc can be proven,if researched. Remember the article says that there is an increase of sales,and consumption of illicit brew. To me this seems like the loose of bars in the gain of illicit brewers. The harm of illicit,and unregulated brew has been documented in elsewhere. We have read how drinkers get blind,sudden death,impotence...ect.Now to mention some still drive in their inebriated condition.
There is no easy solution to this drinking problem.However, it starts with personal resposibility,and where personal responsibility fails, the law should institute punitive damages that would make drunkards sober quick.
Bars closing early is a small step in the right direct.but in by itself is not a solution . There are so many drugs in Kenya that have the same effects as drinking,and in some cases worse.Closing bars early will have not effect on heroin and cocaine users.
The Mututho law is absurd. It
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The Mututho law is absurd. It has made the situation in Kenya worse. Look at all these illicit brewers coming up everyday. The syatem before was perfect. Open bars at 10 am to 3 pm and 5 pm to midnight. Who said i will drinkl more if the bars are open? I have to work and get money to drink or whatever else duh.
Stop enacting stupid and irrelevant laws just to please a group of people. We have cops to maintain law and order. Paying people like Mututho hundred of thousands is a waste of tax payers money. We need revenue and alcohol brings the highest revenue in the Government. Come on, suck it up.
Remember that bars opening early has more advantages. Remember the mitumba women who used to sell their wares during the day in bars? Where are they now? Your guess is as good as mine.What about the butcher and the Mali guy? Surely sometimes we don't have our priorities right.
Yes i drink and yes i drink responsibly. It is my right and it is the Government obligation to give me those right.
Finally can Mr. Mututho furnish us with statistics to show how Kenya has benefited from this law. Can the Tax master tell us how much revenue we have lost since this law was effected. Can the Police boss tell us how accidents have gone down from drink driving incidents.In the absence of facts let Uhuru do the most honorable thing....Let the wine flow freely.
Wrong, the country cannot be
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Wrong, the country cannot be loosing because that money previously wasted on alcohol remains in peoples pockets and will be directed eselwhere, hopefully to more better use for the family and country.
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