The Kenyan government has announced new measures for the Standards Levy to ensure predictability and fairness for manufacturers. Cabinet Secretary Lee Kinyanjui revealed an escalation approach linked to inflation trends. These changes aim to enhance the competitiveness of local industries.
Cabinet Secretary Lee Kinyanjui of the Ministry of Investments, Trade and Industry announced these measures following consultations with industry stakeholders on the Standards Levy Order 2025. The escalation approach involves gradually increasing the levy to align with inflation up to 2030 and beyond, preventing manufacturers from being overcharged amid rising prices.
Additionally, the government will review the Classes of Manufacturing under Standards Levy rules to clarify ambiguities that have hindered compliance. Efforts are ongoing to adjust import inspection charges, aiming to foster industrial growth and improve the competitiveness of Kenyan products in domestic and international markets.
The Ministry has deployed a special team to collaborate with the Kenya Bureau of Standards (KEBS) in implementing these reforms. Kinyanjui highlighted KEBS's role in facilitating trade, protecting consumers, and bolstering the nation's quality infrastructure, with enhanced standards enforcement as part of wider industrial development initiatives.
Manufacturers with annual turnover below Ksh5 million will continue to be exempt from the Standards Levy paid to KEBS. This exemption has already supported over 10,000 micro, small, and medium enterprises (MSMEs), in line with the Bottom-Up Economic Transformation Agenda. The annual levy ceiling remains at 0.2% of turnover, capped at Ksh4 million for the first five years.
Manufacturers have welcomed the reforms, stating that reviewing inspection fees will lower operational costs and boost the competitiveness of Kenyan goods in regional and global markets.
