Edible oils case against Trade Minister certified as urgent
An activist is seeking orders stopping Kuria, Treasury from removal of levies on the product.
A judge has certified yesterday as urgent a case challenging a decision by the government to waive the 35 per cent import duty on edible oils valued at Sh102 billion.
Justice Olga Sewe of the High Court Judicial Review Division allowed activist Julius Ogogoh to seek orders prohibiting two Cabinet Secretaries — Moses Kuria (Trade) and Njuguna Ndung’u (Treasury) — from implementing the decision to remove the duty on the edible oils.
“Leave (Permission) is hereby granted to Ogogoh to apply for Judicial Review orders prohibiting Kuria and Ndung’u from implementing the removal of 35 per cent duty on edible oils and substitution with 10 per cent export and investment promotion levy,” Justice Sewe ordered.
Cheaper price
She directed Ogogoh to file and serve the main suit against the two CSs within 21 days. She directed the parties to appear before her tomorrow, for a hearing on whether the court will bar Treasury from implementing the proposal by Kuria to wave 25 per cent of the dutiable levy on the imported edible oils into the country.
Kuria had issued a letter to Ndung’u allowing the importation of the crude oil at a cheaper price which the activist claims will cripple local manufacturers.
Ogogoh moved to court to challenge the policy decision by Kuria saying it is arbitrarily and against public policy as there is no input from the public.
“It is my contention that Kuria misconcepted that imported and manufactured crude edible oil is a drawback to local manufacturers of food products is baseless and has not been anchored on any proven statistics and or public participation undertaken by Kuria or the Ministry he represents, “ Ogogoh told the Judge.
The court heard that according to economic survey report of 2020, it is shows that Kenya produced 223,000 metric tonnes of edible oils against domestic demand of 815,000 tonnes in 2019.
The 2022 survey by the Kenya National Bureau of Statistics (KNBS) recorded that edible oil and palm oil from Malaysia accounted for 66.6 per cent of total importation in 2021.
Ogogoh argued that the economic survey largely contributed to the marked increase in imports from Sh26.8 billion to Sh62.4 billon in 2021.
“ It is fallacious for the said Trade CS to imply there is currently exists duty of 35 per cent on crude edible oils and yet the court can take judicial notice that the said duty is on imported refined and parked products which is imposed by East African Community -Common External Tariff(EAC-CET) trade regime, “ Ogogoh informed Justice Sewe.
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