Nairobi Traders Protest KRA Customs Benchmark Hike as Police Fire Tear Gas in CBD
Small-scale traders brought Nairobi’s Central Business District (CBD) to a standstill on Friday, August 28, as they protested against the Kenya Revenue Authority’s (KRA) decision to increase the customs minimum benchmark for general containerised consolidated cargo from Ksh2.5 million to Ksh3.2 million.
The demonstrations, which began at Kamukunji before marching through Moi Avenue towards the KRA offices at Time Tower, disrupted normal business activities and triggered a heavy police response.
Protesters Take to the Streets
Armed with placards and blowing vuvuzelas, the traders marched through the city centre, chanting slogans against the tax authority. Images obtained showed a sea of demonstrators filling the streets, forcing many businesses to shut their doors in solidarity.
As the crowds swelled, police officers on high alert moved in, lobbing tear gas canisters along Parliament Road and Kenyatta Avenue to disperse the protesters. The confrontation temporarily brought transportation and movement to a standstill in the affected areas.
What Sparked the Outrage?
At the heart of the protests is KRA’s new customs minimum benchmark for consolidated cargo, which took effect on August 20, 2026. The adjustment—a hike of Ksh700,000 from the previous Ksh2.5 million—has drawn sharp criticism from the business community.
Traders argue that the new valuation will:
- Place an additional financial burden on small-scale importers
- Increase the cost of importing goods
- Ultimately drive up retail prices for ordinary Kenyans
- Reduce already-thin profit margins for small businesses
KRA Defends the Adjustment
In a statement issued on Thursday, August 27, KRA defended the move, stating that the new benchmark was necessary to:
- Address challenges in customs valuation
- Curb undervaluation and under-declaration of goods
- Prevent misdescription and revenue leakages
- Reflect changes in economic conditions and freight charges
The Authority maintains that the review was long overdue and based on objective economic indicators.
Businesses Shut Down in Solidarity
Most businesses in the CBD remained closed during the protests, with traders joining their colleagues in expressing opposition to the latest tax measures. The demonstrations signal growing frustration among Kenya’s informal and small-scale trading community, which forms the backbone of the country’s economy.
What’s Next?
Traders are now calling on the government to reconsider the new benchmark and engage in dialogue with stakeholders before implementing further tax adjustments. They warn that continued taxation without consultation could cripple small businesses and exacerbate the cost-of-living crisis.
Meanwhile, KRA has maintained that the adjustment is non-negotiable, citing the need to protect national revenue and ensure fair valuation practices.
Conclusion
The August 28 protests in Nairobi highlight the growing tension between tax authorities and small-scale traders in Kenya. While KRA pushes for tighter revenue collection measures, business owners fear the new customs benchmark will suffocate their operations and hurt consumers.
As the dust settles, all eyes are on the government to see whether it will heed the traders’ calls for dialogue—or risk more demonstrations in the weeks ahead.