Senate Urged to Rethink Tobacco Bill as Traders Predict Surge in Illicit Goods

Nairobi business traders have raised the alarm over the potential surge of illicit tobacco products should the Senate pass the Tobacco Control (Amendment) Bill, 2024 in its current form.

Speaking in Nairobi, the traders warned that the proposed amendments—especially the ban on flavours in nicotine and tobacco products—would cripple their businesses by driving consumers toward contraband alternatives. They argued that the ban would create a vacuum that illicit traders would quickly exploit.

Their concerns mirror those voiced by business owners in Mombasa, Eldoret, and Nakuru, who have also urged senators to rethink the proposal.

The Bill, sponsored by ODM Nominated Senator Catherine Mumma, seeks to update the Tobacco Control Act of 2007 and introduce new regulations for emerging products such as vapes and nicotine pouches. One of its key provisions is the ban on flavours, which the Bill argues are attractive to minors.

But traders insist the measure will do more harm than good, warning it will fuel an influx of untaxed, unsafe products.

They pointed to recent seizures as evidence of how rampant the illicit market already is.

“Only this January, a multi-agency team including KRA and the anti-counterfeit agency seized 9.3 million sticks of contraband cigarettes at the port of Mombasa which were valued at KES 281 million. This operation follows a similar one in September last year where contraband cigarettes worth KES 29 million were seized by KRA,” said Boniface Gachoka, Secretary General of the Bars, Hotels, and Liqour Traders Association of Kenya (BAHLITA).

According to the traders, banning flavours would worsen the situation.

“Banning flavours in these products will immediately open doors to a flood of illicit products. legitimate businesses like ours will lose out as consumers will go for the cheaper, illicit products. Before you know it, entire businesses will close and the government will lose billions of shillings which would have otherwise been collected as taxes,” he added.

Instead of introducing new restrictions, the traders want the Senate to focus on strict enforcement of existing laws that already prohibit access to tobacco and nicotine products by minors.

“We ask the Senate to allow the government to strictly enforce existing laws on tobacco regulation – which already cover the key issues which the current bill seeks to regulate. Specifically, we are aware that some of the arguments being put forward to support the proposal to ban flavours in nicotine products are based on the need to protect access of these products by persons under the age of 18 years.

“We would like to remind the Senate that the existing law – the Tobacco Control Act of 2007 – has very strict measures in place to safeguard against access of tobacco and nicotine products by children, and as businesspeople, we remain fully committed to compliance with this.

“That is why we are calling on the senate to reject the proposal to ban flavours in tobacco products as banning them will encourage sale of illicit products which will in turn deny our businesses revenue and the government much needed taxes,” he added.

The Bill now awaits deliberation at the Committee Stage, where key amendments could be adopted.