![Six Kenyan Creatives Win Sh4.5M in Capture the Good Challenge [Details]](https://www.breakingkenyanews.com/wp-content/uploads/2026/09/cfbe48b2-fc56-43e3-93d4-3a1de9043bf5-300x200.webp)
Kenya Revenue Authority, Anti-Counterfeit Authority and manufacturers have clashed over the proposed Tobacco Control (Amendment) Bill, 2024, with state agencies pushing for tighter controls.
Industry players on the other side are warning that some measures could raise compliance costs and fuel illicit trade, leading to closure of businesses, revenue and job losses, and exposure to risky products.
Submissions to the National Assembly Departmental Committee on Health reveal divergent views on licensing, product authentication, flavours, plastics and regulation of emerging nicotine products as Parliament considers changes to the Tobacco Control Act, 2007.
The ACA wants the bill strengthened to give enforcement agencies greater powers to authenticate and trace tobacco and nicotine products, arguing that stronger controls would protect legitimate businesses, government revenue and consumers.
The authority cited its 2020 National Baseline Survey, which estimated counterfeit and illicit trade at 9.3 per cent of Kenya’s GDP, equivalent to about Sh829 billion annually.
For tobacco, the ACA cited industry data estimating illicit cigarettes accounted for about 37 per cent of the Kenyan market in 2025, with annual excise revenue losses estimated at Sh9 billion.
It wants tobacco and nicotine products, including electronic nicotine delivery systems and nicotine pouches, subjected to stronger approval and authentication requirements before entering the market.
The ACA has proposed a machine-readable register of approved brands, manufacturers and importers linked to its Anti-Counterfeit Integrated Management System and KRA’s Excisable Goods Management System.
“The system would enable enforcement officers to verify products at borders, warehouses and retail outlets, while mandatory product information such as unique identifiers, country of manufacture, production dates and scannable authentication features would help distinguish legitimate goods from illicit products.”
KRA has similarly backed measures aimed at closing regulatory and taxation gaps around emerging nicotine products.
The tax authority supports expanding the definition of tobacco products to cover synthetic nicotine formulations, nicotine analogues, electronic nicotine delivery devices and related liquids, arguing that this would bring newer products within a clearer taxation framework.
KRA also supports specific standards and approval requirements for electronic nicotine delivery systems, e-cigarettes and nicotine pouches to help enforcement teams identify compliant products.
It wants Ministry of Health product approvals aligned with excise licensing for manufacturers and importers to prevent products from entering the market without the required approvals.
Manufacturers, however, have warned that some proposals could increase the cost and complexity of doing business and unintentionally push consumers towards illicit products.
The Kenya Association of Manufacturers said it supports regulation that protects public health but wants a predictable environment for investment and compliance.
KAM, which represents more than 1,100 members and over 65 per cent of Kenya’s manufacturing value-added industries, said the review was necessary because of changes in products, technology and market trends.
However, it has opposed a proposal requiring county governments to license all tobacco and nicotine dealers, including manufacturers, importers, distributors and retailers.
The association wants the provision deleted, arguing that it would duplicate national licensing requirements, increase administrative costs and create inconsistent enforcement.
KAM has also opposed a proposed ban on single-use plastics in tobacco packaging and disposable electronic delivery systems.
“Existing environmental laws, including the Environmental Management and Co-ordination Act and extended producer responsibility regulations, already provide a framework for plastic waste management,” KAM urgues.
BAT Kenya has raised similar concerns over provisions it says could increase business costs or push consumers towards unregulated products.
It wants the law to recognise different risk profiles among combustible tobacco, smokeless tobacco and nicotine products and has opposed the proposed ban on flavours, arguing that excessive restrictions could encourage consumers to shift to illegal or unregulated products.
It has also called for licensing requirements to focus on manufacturers and importers, saying additional registration obligations could impose a burden on small traders already operating under excise and county licensing systems.
BAT has further questioned the proposed 100-metre restriction on tobacco sales from premises serving underage persons, citing implementation challenges.
The submissions place Parliament at the centre of a debate over how to strengthen public-health protections while limiting illicit trade, safeguarding tax revenues and keeping compliance costs manageable for legitimate businesses.
![Six Kenyan Creatives Win Sh4.5M in Capture the Good Challenge [Details]](https://www.breakingkenyanews.com/wp-content/uploads/2026/09/cfbe48b2-fc56-43e3-93d4-3a1de9043bf5-768x512.webp)
