Senator Keg tax cut hands sorghum farmers lifeline

EABL says it will review contracts with the growers after Treasury clarification. PHOTO | FILE

Beer maker East African Breweries Limited (EABL) is set to renew the contracts of about 20,000 sorghum farmers after reduction of excise duty payable on Senator Keg, which is mainly brewed from the grain.

President Uhuru Kenyatta on Friday signed into law the Alcoholic Drinks Control (Amendment) Bill 2015, setting the excise tax cut (remission) at 90 per cent from the current 50 per cent for beers manufactured using at least 75 per cent locally-sourced sorghum, millet or cassava.

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