Kenya has formally ended its 24-year participation in the Common Market for Eastern and Southern Africa (COMESA) sugar safeguard regime, allowing duty-free regional imports as the government declares the industry ready to compete without trade protection.

The safeguard lapsed on November 30, 2025, ending controlled imports and tariff protection that had shielded local producers since 2001.

Kenya Sugar Board (KSB) CEO Jude Chesire said the temporary measure had accomplished its reform purpose.

“This transition reflects strength, not vulnerability. Kenya’s sugar industry is stable, well-managed and supported by clear policy direction,” said Chesire in a statement on January 4.

The country now produces 815,454 metric tonnes of sugar annually, up 76 per cent from 472,773 metric tonnes in 2022.

However, national demand stands at about 1.1 million metric tonnes, leaving a supply gap of nearly 300,000 metric tonnes that will continue to be met through imports.

Kenya did not submit a request to extend the safeguards during the COMESA Council meeting held on December 4, 2025, effectively allowing the measures to expire.

KSB Chairman Nicholas Gumbo in a previous interview said the country no longer needs protection.

“The last extension was granted in November 2023 on condition that there would be no further request,” noted Gumbo.

Sugarcane acreage expanded by 19.4 per cent to 289,631 hectares, supported by favourable rainfall patterns, improved access to certified seed cane and targeted fertilizer subsidies.

KSB attributes the production surge to improved farm productivity and factory efficiencies.

Kenya first sought the safeguard when it joined the COMESA free trade area in 2000 after sugar imports surged and hurt the domestic subsector.

The country was granted protection that capped duty-free imports at 200,000 tonnes.

Over 24 years and eight extensions, the safeguard was governed by strict benchmarks set by the COMESA Council of Ministers, including tariff-rate quotas, productivity investments and sector restructuring.

The seventh extension exceeded the five-year limit allowed under COMESA trade rules.

COMESA Assistant Secretary General for Administration and Finance Development Anand Haman said in October that the safeguards granted to Kenya had dragged on too long, making some member states uncomfortable.

The government has shifted policy focus from trade protection to competitiveness anchored on value addition and diversification.

Chesire said Kenya is moving toward integrated processing of ethanol from molasses, electricity generation from bagasse and paper manufacturing.

The government completed the transition of former state-owned sugar mills to long-term private leasing as part of structural reforms.

Kenya has leased four major state-owned mills to private investors on 30-year terms to attract private capital for modernization and ensure timely payments to farmers even as the sector remains vulnerable to climatic conditions.

A United States Department of Agriculture (USDA) report dated November 25, 2025, said Kenya’s sugar sector continues to face structural deficits, with domestic production meeting only about 72 per cent of consumption in 2024.

Despite the challenges, the government projects Kenya will meet and surpass domestic demand in the medium term, positioning the country for surplus production and regional export competitiveness.