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RETRAK urges joint crackdown on illicit trade networks

Alphie Today, 10:10 PM 3 min read
RETRAK campaign against illicit and counterfeit goods

The retailers’ association wants enforcement agencies to trace suppliers and financiers, publish results and help traders identify illegal goods.

The Retail Trade Association of Kenya (RETRAK) has called for coordinated enforcement against growing illicit trade in cigarettes, alcohol and counterfeit goods. It wants agencies to target supply networks rather than focus only on retail seizures.

The association urged the Kenya Revenue Authority, Anti-Counterfeit Authority, Kenya Bureau of Standards and National Police Service to adopt a joint plan. It also wants them to designate a lead agency and publish regular progress reports.

RETRAK chief executive Wambui Mbarire said investigators must trace suppliers, transporters, financiers and storage facilities after seizing illegal products. Following these connections, she said, would help disrupt networks and prevent further deliveries.

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Illicit trade strains revenue and legitimate businesses

RETRAK cited a Kantar study estimating that illicit cigarettes represented 45.1 per cent of Kenya’s cigarette market in 2025. That compares with 34.1 per cent in 2021.

The study estimated lost excise duty and VAT at KSh10.2 billion in 2025. Meanwhile, estimated losses between 2021 and 2025 totalled KSh47 billion.

Figures the Anti-Counterfeit Authority presented to Parliament put illicit alcohol at approximately 59 per cent of consumption by volume. They also estimated its economic cost at KSh71 billion in 2022.

The authority’s latest firm-level survey found counterfeit products averaged 18 per cent across the sectors surveyed. Within those sectors, the figures reached 21 per cent for vehicle spare parts and 19 per cent for alcoholic drinks.

Mbarire said illegal operators undermine retailers who meet licensing requirements, maintain records and buy from legitimate suppliers. She also warned that counterfeit alcohol and fake vehicle parts threaten public safety.

Retailers seek verification tools and public reporting

Recent enforcement operations include counterfeit goods seizures worth more than KSh563 million by the Anti-Counterfeit Authority. Those seizures covered the first three quarters of the 2025/26 financial year.

KRA also destroyed fake and illicit goods worth KSh218 million in July. Separately, it recently intercepted nearly 100 tonnes of smuggled sugar in Lodwar and Marsabit.

However, RETRAK wants sustained investigations alongside raids, with agencies publishing progress on major suppliers, prosecutions and unpaid tax recovery. Mbarire said public reporting would strengthen accountability for enforcement results.

The association also called for practical tools to verify excise stamps and product authentication marks. Alongside these, it wants clear guidance on suspicious deliveries and safe reporting channels that offer feedback.

RETRAK said retailers must check suppliers, retain invoices and reject goods whose origins they cannot verify. It also offered to work with regulators on guidance and awareness programmes for retailers, including small traders.

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Alphie

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