- The price of a 400g of bread would cost KSh 55 up from KSh 50 with manufacturers citing an increase in the cost of wheat
- A kilogramme of sugar would cost KSh 10 more after its price was increased from KSh 130 to KSh 140
- To buy a 300 millilitre (ml) of soda, one would have to part with KSh 5 more as the price increased from KSh 30 to KSh 35
Kenyans would have to dig deeper into their pockets during the busy festive season after the prices of basic commodities shot up.
The prices of sugar, milk, soda, bread, and cooking oil have risen, increasing the cost of living.
Jackson Otukho, one of the shoppers who spoke to TUKO.co.ke, said he had already started feeling the effects of the increased prices.
“The high price of basic commodities has eaten into my budget. I now have to readjust my spending and focus on essentials only. I don’t think I would buy Christmas gifts for my loved ones this festive season,” he lamented.
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According to a report by Business Daily, the price of a 400g of bread would cost KSh 55 up from KSh 50.
Bread manufacturers cited the increase in the price of a 90k bag of wheat from KSh 3,200 in 2020 to the current KSh 3,700 in the international markets.
The price of a tonne of wheat in international markets where Kenya reportedly sources 75% of the commodity has skyrocketed to KSh 47,520 from KSh 33,000 in January.
Broadway Group of Companies managing director Bimal Shah said they had no option but to increase the cost of bread.
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“The cost of wheat has been going up since the beginning of the year and this has made it difficult for us to maintain the prices that we have been offering consumers over time,” Shah said.
A kilo of sugar would cost KSh 10 more after its price was increased from KSh 130 to KSh 140.
Although sugar cane deliveries to factories increased from 4.4 million tonnes in 2019 to six million tonnes in 2020 as per the 2021 Economic Survey.
To buy a 200 millilitre (ml) of soda, one would have to part with KSh 5 more as the price increased from KSh 20 to KSh 25.
The 300ml bottle of soda now costs KSh 35 up from KSh 30.
On average, a litre of cooking oil costs KSh 300 from KSh 250 in October.
In July, the 16% value-added tax on cooking gas took effect after members of parliament approved its re-introduction.
A 13kg cooking gas now costs an average of KSh 2,445.
A 500ml of milk now retails at KSh 55 from KSh 50.
On Wednesday, June 30, President Uhuru Kenyatta signed the Finance Bill, 2021, into law.
The act has introduced amendments to various tax-related acts of parliament and related statutes in the public finance sector, effectively introducing new taxes which he said Kenyans must pay.
These include the Insurance Act, the Capital Markets Act, the Retirement Benefits Act, the Central Depositories Act, and the Stamp Duty Act.
Others were the Income Tax Act, Value Added Tax Act, Excise Duty Act, Tax Procedures Act, Miscellaneous Fees and Levies Act, Tax Appeals Tribunal Act and the Kenya Revenue Authority Act.