According to the DDA, the number of export licences issued by Kenyan officials for Ugandan powdered milk has decreased.
Mr. Samson Akankiza, executive director of DDA, told this website over the weekend that the number of permits issued to import powdered milk has been slashed by around 20%
“I don’t have exact numbers, but the cut is around 20%. The market is still open, and Uganda milk players are exporting products there,” he said, adding that licences are being issued for all other items except milk powder.
Mr. Akankiza’s affirmation came after Mr. Benson Mwangi, general manager of Brookside Limited, complained that export licenses for their milk were being denied or delayed by the Kenya Diary Authority (KDA).
Mr. Mwangi wrote on April 5, 2023, that the KDA has implemented non-tariff obstacles on their products, which presents a hurdle.
“Effective March 19, 2023, the Kenyan government through Kenya Dairy Board stopped issuing permits for our dairy products in the Kentrade system, affecting our factory output significantly,” the letter reads in part.
Mr. Mwangi stated that the company is still having trouble getting export permits from the Kenya Dairy Board, which often takes months to issue.
According to him, this has hurt sales and the company’s ability to invest Shs38 billion to modernize and expand its Kampala production. Already, they’ve poured $226 million into Uganda’s burgeoning dairy industry.
Along with Pearl Dairies, Jesa Farm Dairy, Amos Dairies Uganda Limited, Paramount Dairies Limited, GBK Dairy Products Limited, and Lakeside Dairy Limited, Brookside is one of Uganda’s most prominent milk producers and exporters.
