91-day T-bill8.750%▲ 0.002
182-day T-bill8.851%▼ 0.008
364-day T-bill9.029%▲ 0.002
Central Bank Rate8.75%07/10/2026
Inflation7.3%October 2026
Top MMF yield10.34%Jubilee
Sources: CBK auction, 2 Nov 2026 value date (change vs 26 Oct); CBK key rates; fund managers' published yields, as at 31st December 2025 to 31st March 2026.

Kenya sugar production jumps 56.7% as 2kg price falls by KSh32

Kenya sugar production rose 56.7% to 690,521 tonnes in January to September 2026, cutting imports and the retail price to KSh155 a kg.

Sugar production story: tractor hauling sugarcane in Migori
A tractor hauls sugarcane in Migori. Photo: Kizito2030 / Wikimedia Commons, CC BY-SA 4.0

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Kenya’s sugar production rose 56.7% in the first nine months of 2026, and the retail price of sugar has fallen as a result. Kenya Sugar Board data shows factories produced 690,521 tonnes from January to September 2026, up from 440,652 tonnes in the same period of 2025, Capital FM reported on 7 November 2026. The Star reported the same figures.

The national average retail price fell to KSh 155 per kilogram in September 2026 from KSh 171 a year earlier. That cuts the cost of 2kg from KSh 342 to KSh 310, a saving of KSh 32.

Kenya sugar production: key numbers, January to September

Measure 2025 2026 Change
Sugar produced (tonnes) 440,652 690,521 +56.7%
Cane milled (tonnes) 4.97 million 7.76 million +56.2%
Millers’ sales (tonnes) 436,593 635,672 +45.6%
Sugar imports (tonnes) 364,486 251,690 about −31%
Stocks at end of September (tonnes) 14,033 70,773
Retail price per kg (September) KSh 171 KSh 155 −KSh 16

Kenya projects production of 900,000 tonnes this year, against estimated annual demand of about one million tonnes. Last year’s output was about 650,000 tonnes.

Sugar production story: tractor hauling sugarcane in Migori
A tractor hauls sugarcane in Migori. Photo: Kizito2030 / Wikimedia Commons, CC BY-SA 4.0

Imports fall, but refined sugar still comes from abroad

Higher local sugar production cut imports. Imports of mill white and brown sugar fell by about 71%, to 65,845 tonnes from 226,730 tonnes. Refined white sugar imports rose to 158,006 tonnes from 137,756 tonnes, because local factories still cannot meet demand for refined sugar.

Exports and ethanol plans

Exports are still small: 315.57 tonnes in the nine months, up from 244.80 tonnes. “Kenya by next year will start building surpluses for exports,” Kenya Sugar Board CEO Jude Chesire said. He chairs the Council of the International Sugar Organization. He said Kenya is also looking at ethanol and biofuels from molasses, a by-product of sugar milling. Molasses output rose 62.1% to 307,617 tonnes.

What it means for households and businesses

  • Shoppers: 2kg of sugar cost about KSh 32 less in September than a year earlier, which eases food costs. Our October inflation report covers the wider picture.
  • Bakers, bottlers and food makers: local supply is stronger, but refined sugar still depends on imports, so prices for that grade may behave differently.
  • Cane farmers and millers: rising sugar production means more cane is being milled, and new investment is going into factories such as West Kenya Sugar’s Nandi plant.

Frequently asked questions

How much sugar did Kenya produce in 2026?

690,521 tonnes from January to September 2026, up 56.7% from 440,652 tonnes a year earlier, according to Kenya Sugar Board data.

What is the price of sugar in Kenya now?

The national average retail price was KSh 155 per kg in September 2026, down from KSh 171 in September 2025.

Is Kenya still importing sugar?

Yes. Imports fell about 31% to 251,690 tonnes in the nine months, but refined white sugar imports rose.

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About Author

Norah Waceke is a business journalist and editor at Business Radar with more than eight years of experience covering Kenya's economy, companies and markets. She previously worked at one of Kenya's leading digital news platforms, where she reported on business, finance and current affairs. A graduate of Multimedia University of Kenya, Norah focuses on clear, accurate reporting that helps readers understand the money stories shaping their lives and businesses.

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