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Sector losing Sh7 billion annually due to ‘Mututho laws’

By Anthony Gitonga | December 5th 2014

NAIVASHA, KENYA: The country is losing over Sh7 billion annually due to the move to cut bars operation hours under the alcoholic drinks control act popularly known as the 'Mututho laws'.

According to players in the sector, the laws have adversely affected the sector with illicit brews on the rise across the country.

The problem has been coupled by newly introduced fees and licenses by county government targeting bar owners.

This emerged when bar owners from parts of Nakuru County visited Keroche Breweries in Naivasha and praised the CEO for the Africa Businesswoman of the year award while calling for the review of the new fees.

Keroche Breweries CEO Tabitha Karanja admitted that the alcohol laws were hurting the sector and promoting the consumption of illicit brews.

Addressing the press after meeting the bar owners, the CEO said that there was need to review and amend the alcoholic laws.

"The bar owners have confessed that the country is loosing an estimated Sh7B annually due to this laws which have ended up hurting the legal sector," she said.

On new fees introduced under the devolved governments, Karanja said that industrialists were in negotiations with county governments over the impasse.

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