Somalia
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Miraa levy to take effect from July 1


Thursday June 29, 2023


Miraa on sale in Lamu island. Image: CHETI PRAXIDES

Implementation of Miraa levy is expected to take effect from next month.

This is according to a notice issued by the Agriculture and Food Authority.

Willis Audi, AFA acting director general, said the regulations contain various provisions that are geared towards trade facilitation through registration and licensing of value chain players.

A few months ago, Parliament passed the Miraa Regulations 2023, to guide the crop's production and processing and marketing of the produce.

He noted that the miraa subsector has improved drastically in the last 12 months in particular after the re-opening of the Somalia market in July 2022.

Audi said whereas implementation of licensing procedures was rolled out immediately after the publication, the implementation of the Miraa levy delayed. This was because the development of enabling framework was underway.

“The e-platform has now been completed on the AFA’s Integrated Management Information System,” he said.

“In this regard, the authority hereby notifies the general public that the Miraa levy provided for under Regulations 3 of Crops (Miraa) Regulations, 2023 shall take effect from  July 1, 2023,” Audi said.

The DG urged stakeholders to adhere to the provisions of the Crops (Miraa) Regulations 2023 and ensure compliance.

According to the Crops (Miraa) Regulations, the Cabinet Secretary may by a notice in the gazette impose a levy on miraa produce or products.

The levy imposed shall be at a rate of Sh2 per kilogram of miraa produce imported or exported.

“There shall be a levy imposed on miraa products destined for export based on Free on Board value at a rate two per cent, imported miraa products at a rate of four per cent of the customs value,” the regulations reads.

The levy shall be remitted to the authority not later than the tenth day of the month following the month during which the levy was due.

Any levy imposed under this regulation which remains unpaid shall be recovered by the authority, as a civil debt due to it from the person by whom it is payable.

A person who fails, neglects or otherwise refuses to pay or remit the regulatory levy on time as provided under these regulations shall, where directed by the authority in writing, in addition to paying the regulatory levy.

“The fees payable for licenses, renewal of licenses and permits under these regulations shall be as set out in the Third Schedule and may be reviewed from time to time. Any charges on traded produce on transit shall be charged once at the point of exit in the County of origin.

No other such charge shall be instituted on the same consignment as it traverses across counties general penalty.

The regulation further indicates that; “A person who commits an offence under these regulations for which no penalty is prescribed, shall be liable, upon conviction, to a fine not exceeding Sh500,000, or to a term of imprisonment for a period not exceeding one year or to both in accordance with section 37 of the Act.”