The Kenyan government has formally approved the duty-free importation of 500,000 metric tonnes of Grade 1 white milled rice, declaring the exercise a strategic intervention aimed at addressing acute food shortages and stabilizing local rice prices.
According to the Gazette notice issued on July 28, 2025, by the Cabinet Secretary for the National Treasury and Economic Planning, John Mbadi, the consignment must be imported on or before December 31, 2025, and will be exempt from all import duties under the East African Community Customs Management Act.
Officials say the intervention is grounded in stark supply-demand dynamics: annual rice consumption in Kenya exceeds one million metric tonnes, while domestic production remains limited to approximately 190,000 MT as of the 2024/25 season.
With a monthly national requirement of around 100,000 MT, the country faces a persistent deficit that only imports can fill. Domestic output for the season was estimated at 191,000 MT whereas only 94,000 MT has been imported to date, leaving a considerable shortfall that the government hopes to close through the strategic import window.
The government has framed the duty‑free rice quota as a consumer‑cushioning mechanism to blunt soaring retail prices, especially as local production lags behind demand.
Analysts expect the influx of cheaper rice primarily sourced from India and Pakistan to dampen price spikes, ease pressure on low-income households and inject liquidity into local markets. India’s share is forecast at 60–70 percent of the quota, with exporters racing to meet new demand from Kenya.
In tandem with the import plan, the Ministry of Agriculture and the Kenya National Trading Corporation (KNTC) recently moved to support local producers, committing Ksh 500 million to purchase 5,000 MT of rice from over 8,500 farmers in Kirinyaga and surrounding counties.
This mop‑up effort aims to allay concerns over the impact of imported rice on local growers and ensure they receive timely payment within a month of delivery.
While the duty‑free import directive has drawn criticism from some farmer groups who argue it undermines local production, government leaders stress that the dual approach of importation and farmer support is calibrated to strike a balance.
Plans are underway to reduce rice imports by up to 50 percent in the medium term by expanding irrigation schemes, increasing acreage under cultivation, introducing high‑yield rice varieties, and promoting upland rice farming as part of a broader food security and self‑sufficiency drive.
The strategic importation window is thus cast not as a long‑term fix but as a temporary measure to manage an escalating gap while local production capacity is scaled up.
With the import deadline set for end‑December 2025, stakeholders will be watching closely how the rice influx affects market prices and whether the parallel boost to domestic farmers yields sustainable gains.
Written By Ian Maleve
