Hundreds of small-scale traders staged demonstrations across Nairobi’s Central Business District (CBD) on Friday, August 28, 2026, protesting new customs valuation rules introduced by the Kenya Revenue Authority (KRA) that they say will significantly increase the cost of doing business.
Carrying banners, blowing vuvuzelas, and waving Kenyan flags, the protesters gathered outside the iconic Kenya National Archives along Tom Mboya Street before marching toward Times Tower, KRA’s headquarters.
The demonstrations were organized by traders from some of Nairobi’s largest commercial centers, including Kamukunji, Gikomba, and Nyamakima, which serve as key hubs for imported goods distributed across Kenya and neighboring countries.
The protests were triggered by KRA’s implementation of a revised customs valuation benchmark for consolidated cargo shipments.
Under the new guidelines, the minimum customs valuation benchmark for a 40-foot container of consolidated general cargo was increased from KSh 2.5 million to KSh 3.2 million, representing a 28 percent rise and an additional KSh 700,000 per container.
The change has particularly affected small-scale importers who share container space to bring in merchandise such as clothing, electronics, footwear, and household goods—most of which are imported from China and other Asian markets.
Traders argue that the higher valuation threshold substantially increases import costs and threatens the survival of small businesses already operating on narrow profit margins.
“If they add the KSh 700,000, there is no profit we will make,” one Kamukunji trader said during mobilization efforts ahead of the protest. “We are asking the relevant government agencies to review this decision because it will hurt small businesses and consumers alike.”
The demonstrations disrupted business activity in parts of Nairobi’s CBD, with several shops and retail outlets remaining closed throughout the morning due to security concerns and in solidarity with the protesting traders.
While public transportation continued operating on some routes, movement along several commercial streets was slowed by the marches.
In response, the Kenya Revenue Authority defended the new policy, explaining that the KSh 3.2 million figure is not a fixed tax charge, but rather a minimum valuation benchmark used as part of its customs risk-management and clearance procedures.
According to KRA, importers who prefer not to use the consolidated cargo benchmark can de-consolidate their shipments and declare goods individually, paying duties based on the actual value of each item.
However, traders argue that individual declarations are often impractical for small importers due to the additional costs, paperwork, and logistical challenges involved.
Many say the consolidated cargo system has long allowed micro and small businesses to pool resources and access international markets that would otherwise be beyond their financial reach.
Business associations and trade leaders have called for urgent talks between the government and representatives of the trading community, warning that prolonged disagreements could disrupt supply chains, increase consumer prices, and negatively impact thousands of jobs linked to Kenya’s informal and small-business sector.
The dispute highlights broader concerns over taxation, trade regulation, and the cost of doing business in Kenya, as authorities seek to increase revenue collection while traders push for policies that support small enterprises and economic growth.