Kenya lobby urges tax waiver on farm inputs amid COVID-19 pandemic

   NAIVASHA, Kenya, March 27-- The Kenya Flower Council (KFC) on Friday appealed to the government to zero-rate farm inputs in a bid to cushion the sector from disruptions due to the COVID-19 outbreak.
   Clement Tulezi, chief executive officer of KFC, said that duty waivers on critical farm inputs like fertilizers and pesticides will enable the horticulture sector to withstand shocks linked to cancelled orders in the European Union (EU) market.
   "We have sent some proposals to the government requesting for zero-rating of all farm inputs in order to enable investors in the flower sector to survive the current downturn," said Tulezi.
   He said that the horticulture sector was experiencing a slump as flower farms dispose of their harvest following the current lockdown in several EU member states.
   Tulezi said that about 150,000 workers had been temporarily laid off amid losses that flower farms have incurred due to the cancellation of orders in overseas markets.
   "Due to the current crisis, farmers have been forced to send home over 50 percent of their workers on paid leave hoping that things will change in the coming months," said Tulezi.
   Tulezi said that the farmers were ready to start shipping flowers once the situation stabilized in Europe, which is the main market for Kenya's flowers.
   He said the government should extend tax incentives to investors in the floriculture sector against a backdrop of a tough operating environment.
   David Omulama, secretary-general of Kenya Export, Floriculture, Horticulture and Allied Workers Union, said that duty waivers on farm inputs would enable the sector to float despite uncertainties triggered by the COVID-19 outbreak. Xinhua