The Anti-Counterfeit Authority (ACA) has intercepted three lorries carrying counterfeit sugar and cooking oil being smuggled into Kenya from Somalia, dealing a major blow to illicit trade networks along the coast.
In a statement released on Thursday, August 21, ACA confirmed that the operation was conducted in collaboration with a Multi-Agency Team at Sabaki Security Patrol Point in Malindi. During the raid, 676 bags of counterfeit sugar branded as Butali and other labels, jerricans of cooking oil, and three trucks were seized. Eight suspects were arrested and booked at Malindi Police Station.
According to ACA Executive Director Mbugua Njoroge, the goods valued at approximately Ksh10 million posed both economic and security risks. He noted that the smuggling of such products undermines Kenya’s revenue base, threatens legitimate businesses, and has the potential to fuel organized crime and even terrorism.
“This seizure is not just about protecting consumers from harmful counterfeit sugar and oil. It is about safeguarding our economy and national security. Counterfeit sugar hurts our sugar industry, affecting thousands of farmers and millions of livelihoods tied to the sector,” Njoroge said.
The authority emphasized that counterfeit goods cost Kenya an estimated Ksh153 billion annually in lost tax revenue and contribute to the loss of over 40,000 jobs. In the past year alone, ACA reported seizing counterfeit products worth more than Ksh500 million, with over 120 suspects arrested in connection with the illicit trade.
Globally, the Organisation for Economic Co-operation and Development (OECD) estimates that counterfeit and pirated goods account for 3.3 percent of world trade, valued at USD 509 billion. The United Nations Office on Drugs and Crime (UNODC) has also raised concern about the link between counterfeit trade and the financing of organized crime and extremist groups.
The Malindi seizure comes just days after the Directorate of Criminal Investigations (DCI) arrested six individuals in Nairobi’s Ngara area for allegedly manufacturing counterfeit U.S. dollars. The suspects, among them four Kenyans, one Congolese, and one Tanzanian, were found with 36 bundles of fake currency, note replicas, and other counterfeiting materials.
Authorities have vowed to intensify crackdowns on counterfeit goods to protect consumers, businesses, and the country’s economic stability.
