Kenya exits COMESA sugar safeguard after 24 years, signals readiness to compete regionally

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Kenya has formally exited the COMESA Sugar Safeguard regime after 24 years, marking what the government describes as a decisive and confident transition for the country’s sugar industry following the lapse of the safeguard on November 30, 2025.

Announcing the development on X, Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe said the move signalled the completion of a long reform journey rather than the exposure of the sector to new risks.

“The Government of Kenya has formally exited the COMESA Sugar Safeguard regime after 24 years, marking a decisive and confident transition for the country’s sugar industry,” Kagwe said.

“The safeguard, which lapsed on 30th November 2025, had fully achieved its objective as a temporary, reform-driven instrument to stabilize and restructure the sector,” he added.

Kagwe said the decision reflects the growing strength of the sugar industry, noting that Kenya is now prepared to compete fairly within the regional market framework.

“This transition reflects strength, not vulnerability, because Kenya’s sugar industry is stable, well-managed, and supported by clear policy direction,” the Cabinet Secretary said.

He further assured stakeholders that the exit from the safeguard would not destabilize livelihoods or investments within the sugar value chain.

“Farmers, millers, workers, and investors are assured that the exit from the safeguard does not expose the sector to disruption, but rather signals readiness to compete within a structured and fair regional market,” Kagwe said.

According to the Kenya Sugar Board (KSB), the safeguard was originally introduced in 2001 under Article 61 of the COMESA Treaty to allow Kenya time to reform a struggling sugar sector through structured protection.

Over the 24-year period and eight extensions, the safeguard was governed by strict benchmarks set by the COMESA Council of Ministers, including tariff-rate quotas, productivity investments, factory rehabilitation, infrastructure development, and continuous performance monitoring.

KSB data shows that sugarcane acreage expanded by 19.4 per cent from 242,508 hectares to 289,631 hectares, supported by favourable rainfall, improved access to certified seed cane, and targeted fertiliser subsidy programmes.

Sugar production increased by 76 per cent from 472,773 metric tonnes in 2022 to 815,454 metric tonnes currently, reflecting improved farm productivity and enhanced factory efficiencies across the sector.

National sugar demand stands at approximately 1.1 million metric tonnes annually, with Kenya continuing to supplement domestic supply through controlled imports from COMESA and other approved sources as local capacity expands.

The board noted that miller capacity expansion, factory rehabilitation, and the leasing of former state-owned mills to private operators are ongoing and will take time to fully optimise operations.

Kenya Sugar Board Chief Executive Officer Jude Chesire said the conclusion of the safeguard marks the successful completion of a reform cycle rather than its abandonment.

“The exit from the safeguard aligns with the reform trajectory already underway and reinforces certainty in the operating environment, while the Kenya Sugar Board continues to provide strong regulatory oversight, market coordination, and farmer protection,” Chesire said.

He added that the medium-term outlook for the sector remains strong as miller capacity expands, productivity improves, and Kenya positions itself to meet domestic demand, achieve self-sufficiency, and compete regionally within the COMESA Free Trade Area.