Kenyan Miraa farmers suffer blow in new Ethiopia-Somalia trade deal

[bidenkulaha]

Miraa farmers suffer blow in new Ethiopia-Somalia trade deal

Developments come after Ethiopia, reportedly, lodged complaints over Kenya’s dominance in the Somali khat market.

nation.africa

Miraa imports is down more than 50% in the past year after the higher taxes imposed but seems like Ethiopia have agreed with Somalia for 10 day exclusive from Kenya trade, they need this desperately given they can’t compete with Kenya in price to market

To do this Ethiopia must’ve given something back as Kenya will not be happy. Ruto had significant financial backing from Mira industry. Could worsen relations. Kenya had promised to open borders with Somalia and make free visa travel easier but still yet to deliver.

 

[Aurelian]

Somalia should impose heavy taxes on the khat.

 

[bidenkulaha]

Somalia should impose heavy taxes on the khat.

Think we’ve got $5 per kg right now

 

[Jungle]

FGS trying to keep them happy I see. Nobody likes that hereri jaad anyway. People were paying ridiculous prices for miraa when it was being imported through Jaziira during the ban from the previous govt and they'll do the same again. Odaygi Axmed Daaci ahaa is back in business.

 

[Bowda-dheer]

This is gonna open the door for straight flights to all cities in Somalia which mean no more deals for people backed by villa Somalia. Hareeri ? nobody likes that shit starting from sool dhulbahante all the way to raaskambooni it’s strictly miraa market. Only isaaq chew the hareeri in Somalia.

 

[bidenkulaha]

This is gonna open the door for straight flights to all cities in Somalia which mean no more deals for people backed by villa Somalia. Hareeri ? nobody likes that shit starting from sool dhulbahante all the way to raaskambooni it’s strictly miraa market. Only isaaq chew the hareeri in Somalia.

The agreement I believe is contingent on Ethiopia paying the tax for an agreed amount of tonnage. So FGS will get the money anyway.

This likely political over economic on FGS side. HSM and Abiy must’ve exchanged something for this as Ruto’s Mira backers will be hurt significantly

 

[Bowda-dheer]

The agreement I believe is contingent on Ethiopia paying the tax for an agreed amount of tonnage. So FGS will get the money anyway.

This likely political over economic on FGS side. HSM and Abiy must’ve exchanged something for this as Ruto’s Mira backers will be hurt significantly

It doesn’t matter how much tax they ask for hareeri has no market in Somalia unless they’re planning to limit Kenyan miraa. In that case kenya will get rid of villa Somalia monopoly and the gobolada will have direct flights sfg can only block from xamar and that will come with daily fights against the Hawiye military guys who distribute it just like the farmajo days.

 

[bidenkulaha]

It doesn’t matter how much tax they ask for hareeri has no market in Somalia unless they’re planning to limit Kenyan miraa. In that case kenya will get rid of villa Somalia monopoly and the gobolada will have direct flights sfg can only block from xamar and that will come with daily fights against the Hawiye military guys who distribute it just like the farmajo days.

They’ve just agreed to only an agreed amount of Kenya Somalia fights by registered airline companies.

Kenya airways will operate in Somalia. Ironically signed the same day as this Ethiopia Somalia trade agreement

 

[Thegoodshepherd]

Can the FGS ban Khat? The answer looks to be no.
Ok then, let it be a totally free market so that prices crash and as few dollars as possible leave the economy. We should be trying to reduce our import bill by as much as possible by letting the Ethiopians and Kenyans compete on price.

Let every Somali who wants to import khat import it.
Let all suppliers supply the Somali market.
Stop giving exclusive licenses!! Stop limiting import days!! That limits supply and drains dollars!

FGS is both retarded and corrupt.
So frustrating to share a country with these people.

 

[bidenkulaha]

Ethiopia is supposedly desperate for this exclusive trade window as khat exports fell by more than 50% after higher taxes and Kenyan khat re-entering the white market. Abiy personally called HSM to sort this out but this will massively upset Kenya. HSM clearly thinks the Ethiopian relationship is much more important than Kenya right now