Bittersweet Christmas as Sugar Prices Go Up

This Christmas might not be just as 'sweet' as we need it to be, owing to the increased retail prices of sugar this month. A kilo of sugar is selling between KES 115 and KES 130 up from KES 110 in November. According to Business Daily, a spot check in most supermarkets in Nairobi has revealed that though most shelves were filled with stocks, prices had gone up by up to 18%. But then again, some consumers in various other parts of Nairobi have reported shortages of this commodity.

However there's some sort of relief that we could be spared the high prices and shortages. Mumias Sugar Company’s marketing and corporate affairs director Pamela Lutta told the Daily Nation that the miller had enough raw materials to remain operational throughout the festive season, ensuring adequate supply of the commodity.

So clearly if there is shortage in retail stores then that means there is some hoarding going on and sugar merchants, who will be taking advantage of the festive season to rake in good fortunes in profits as we rot in penury.

Sugary Statistics

Millers and officials from the Kenya Sugar Board (KSB) and the Agriculture Ministry predicted that 2012 sugar output will dip marginally due to poor supplies of cane and cane theft notwithstanding (Wizi Wa Miwa). 

Numbers by KSB say that imports of both white and brown sugar climbed 130%  to 132,755 tonnes between January and June- cushioning the country from the effects of a potential rise in the prices of the commodity after local millers recorded 9% drop in production to 286,202 tonnes compared to the previous year.

Low supplies of sugar both locally and in the international markets early last year is what saw some of us pay KES 250 a kilo in some parts. Kenya imported 132,755 tonnes in the first-half of 2012 compared to the previous year’s 57,717 tonnes with the bulk of the shipments originating from the Common Market for Eastern and Southern Africa (Comesa).

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