The sports category has moved to a new website.

Good news for Kenyan households as Unga and bread prices set to drop

The government has introduced a duty-free importation of maize in the next four months and the removal of value-added tax on both bread and maize flour.

Ugali which is Kenya’s staple food is now expected to be cheaper following months of sky rocketing maize flour prices.

Ugali which is Kenya’s staple food is now expected to be cheaper following months of sky rocketing maize flour prices.

Rising inflation

The consumer price of flour had peaked at Sh130 for a two-kilogramme packet as food costs ballooned in the last few months as inflation in the beginning of the year shot up to nine percent.

ADVERTISEMENT

While reading the 2017-2018 budget, CS Rotich said the two basic commodities (maize flour and bread) are expected to be cheaper after the exemptions, warning millers and bread manufacturers of a reversal should they fail to translate the benefits to the consumer.

“In order to make these commodities affordable for the common mwananchi, I propose to zero-rate bread and maize flour to remove VAT altogether.

"Manufacturers, wholesalers and retailers who sell such goods will be expected to reduce the prices of these basic commodities, failure to which, I will reverse the policy,” Mr Rotich said.

The Government expects to see a significant reduction of prices as soon as these measures start taking effect after the lawmakers sign into law the appropriation Finance Bill.

ADVERTISEMENT

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

10 African cities with the highest crime index at the start of 2024

10 African cities with the highest crime index at the start of 2024

Machoka at 70: Emotions run high during Citizen TV presenter's birthday [Video]

Machoka at 70: Emotions run high during Citizen TV presenter's birthday [Video]

Diwali 2022: Is Monday a public holiday in Kenya?

Diwali 2022: Is Monday a public holiday in Kenya?

Akothee finally reveals reasons for separating from Omosh 1 month after wedding

Akothee finally reveals reasons for separating from Omosh 1 month after wedding

Man, once a ‘billionaire’, recounts how he lost wealth, now sells his book on streets [Video]

Man, once a ‘billionaire’, recounts how he lost wealth, now sells his book on streets [Video]

Details of Ngina Kenyatta's luxurious restaurant

Details of Ngina Kenyatta's luxurious restaurant

Zero Chills! Jackie Matubia's advice for Milly Chebby amid the unfollow drama

Zero Chills! Jackie Matubia's advice for Milly Chebby amid the unfollow drama

Nigerian royal dignitaries, including four kings and a queen, expected to attend Museveni’s 50th wedding anniversary celebrations

Nigerian royal dignitaries, including four kings and a queen, expected to attend Museveni’s 50th wedding anniversary celebrations

10 African countries with the strongest military power in 2024

10 African countries with the strongest military power in 2024

ADVERTISEMENT