Cigarette maker alarmed by fakes

By Macharia Kamau

Tobacco firms have petitioned the Government over counterfeit tobacco products.

The companies said despite legislation to aid in stopping illicit cigarette trade, authorities have done little and the invisible ‘industry’ is threatening to rule the market.

Cigarette makers say since the Tobacco Control Act was enacted, no one has been fined or imprisoned for the vice, hurting the multi-billion shilling industry.

Mr Josh Kirimania, Head of Corporate Affairs at Mastermind Tobacco Kenya (MTK) said counterfeiting of cigarettes has grown quickly over the last year.

He said other than those produced locally, counterfeit products are finding their way into the local market through the country’s porous borders.

Places known

"Locally, some premises in Nairobi’s Industrial Area and Export Processing Zones are well known to authorities for manufacturing counterfeit cigarettes," he said.

"Other than the multiple entry points along Kenya’s border, the Eldoret Airport and the port of Mombasa are also being used.

Specific information, including premises, buildings and the names of suspects, has been provided to the relevant authorities but little action appears to have been taken."

Kirimania cites instances where counterfeit cigarettes have been seized, but the Government remains unmoved in curbing the vice.

"Over the last year, MTK security officers have recovered hundreds of cartons of counterfeit cigarettes manufactured in Uganda bearing genuine KRA tax stamps, but with unknown serial numbers. But even though all the relevant information has been passed to taxman, no action appears to have been taken," explained Kirimania.

Other than counterfeits, the industry is also grappling with contraband cigarettes, where products meant for the export market are smuggled back into country. The products evade tax robbing the country revenue.

The firm points out a growing illegal cigarette market in the East African fuelled by high differentials in taxes and the state laxity in controlling the vice.