Illicit trade is posing a challenge in the implementation of the Big Four Agenda with over Ksh 200 billion in revenue lost annually to contraband trade.
Trade Principal Secretary Dr. Chris Kiptoo says substandard and counterfeit housing equipment and fertilizer are finding their way into the Kenyan market which could affect the realization of the housing and food security agendas
Illicit trade around the globe is estimated to be worth 13 trillion dollars almost equal to China’s GDP despite international efforts to fight the vice.
In Kenya, illicit trade costs the country 200 billion shillings in missed revenue, this is despite the creation of a multi-agency to combat the trade.
The government says current laws governing illicit trade are weak and there is a need for new legislation to help fight illicit trade.
Trade Principal Secretary Dr. Chris Kiptoo says the housing and agriculture sectors have been worst affected by illicit trade with substandard housing materials and fertilizer finding their way into the Kenyan market.
To address contrabands the government is being urged to adequately equip investigative agencies to ensure a successful prosecution.
The government is also in the process of drafting policies to widen the tax bracket to the digital economy and the informal sector in efforts to increase revenue collection.