Why traders want cheap KDF alcohol off civilian shops
Saku Beer Agency Managing Director Soke OTE during an interview with the Nation. He decried losing Sh1.5 million monthly due to the influx of the Defco beer.
The business community in Marsabit County has urged the government to ban the sale of zero-rated alcohol from barracks shops, popularly known as Defence Forces Canteen Organisation (Defco), to civilians.
The Kenya National Chamber of Commerce and Industry (KNCCI) Upper Eastern director Jacob Godana said the illegal activity marred the creation of a favourable commercial, trade and investment environment that supports enterprise expansion in the region.
Military personnel have always enjoyed cheaper items, ranging from foodstuffs to beer and fuel.
This arrangement has, however, been misused by military personnel who allow their friends and members of the public from outside the barracks to buy the cheap items, mostly alcohol.
The Nation learnt that rogue soldiers involved in the trade cashed in on the Covid-19 crisis, thus increasing supplies at a time when bars and pubs were banned from operating.
“We call for a better-regulated alcohol industry, and with provisions prohibiting sale of alcohol outside the stipulated parameters,” Mr Godana said.
Infiltration of the army alcohol
Mr Godana revealed that he received complaints from pub and bar owners in the county over the infiltration of the army alcohol that was only meant for sale within the Armed Forces canteens.
He also called on the Kenya Breweries Limited to intervene and stop the influx of the (Defco) labelled beer at the local markets, including Korr, Ngurnet, Nemerit, Dukana, Gas, North Horr, Turbi, Bubisa and Burgabo.
Mr Godana expressed the hopelessness of local traders who have been faced with the threat of being phased out of the market as potential clients shifted to the Army brands.
Many businesspeople in Marsabit town have already begun feeling the heat of the Armed Forces booze influx due to inadequate demand for their products.
KNCCI Marsabit chapter chairperson Haji Adan Gure condemned the illicit trade.
Some of the beer bottles we managed to buy from a civilian pub in Turbi ward last month.
He said such illegal practices could result in promoting harmful consumption of alcohol in the county.
He wondered how police could prevent sale of illicit brews when they were the ones involved in dubious alcohol sales.
Mr Gure warned that the influx of Armed Forces booze in the civilian markets potentially poses a threat of enforcement action for licensees who are in breach of the law.
Saku Beer Agency Limited Managing Director Soke Ote, one of the beer distributors in Marsabit who was interviewed by the Nation, revealed that he has been making losses of Sh1.5 million monthly since the advent of the illicit beer trade by the disciplined forces.
He explained that in a month, they would supply North Horr sub-county with at least 450 crates of beer but, since the Defco beer began flooding the market, they had stopped.
“This trade has found ground mainly in North Horr and Laisamis sub-counties and we ask the government to take immediate action,” Mr Ote said.
Our undercover investigation confirmed the authenticity of the claims when we visited several pubs in North Horr sub-county.
The Nation established from the pub owners that the Defco beer was easily obtained. Police officers were supplying the beer using police vehicles.
This reporter bought beer in one of the pubs in Turbi Ward.
Four out of the five pubs we visited had run out of stock since the Defco brands were in high demand in the region.
The pub attendants explained that the brands were supplied mainly in North Horr and Laisamis sub-counties by police officers whose sources were believed to be Archer's Post and Isiolo Army barracks.
Further, they explained that the trade has been in existence for the last 15 years and only stopped momentarily whenever local distributors raised complaints.
Several letters in our possession indicate that many complaints had been raised with the KBL, county commissioner, police commander, County Trade, Industry & Cooperative Development Department, Inspector-General of Police, IPOA and KNCCI since 1995, with little action taken.
Reached for comment last week, the Kenya Defence Forces Spokesperson Zipporah Kioko promised to get back to us as soon as she established the authenticity of the allegation.
"Allow me to interrogate the authenticity of these claims before I get back to you shortly," Ms Kioko told the Nation.
She had not reverted by press time.
