7 September 2010

Nairobi — RELIGIOUS leaders yesterday launched a campaign to petition President Kibaki and Parliament to repeal the Alcohol Control Act which legalises the brewing and sale of chang'aa and other traditional brews.

The petition is expected to be given to President Kibaki and Speaker of the National Assembly Kenneth Marende as soon as one million voters append their signatures to show their support.

The petition - drawn up by all religious groups including the Catholics, Anglicans, Hindus and Muslims - expresses their concern that the Act may lead to an increase in alcohol abuse and erode the gains made in other sectors like the fight against HIV/Aids.

The leaders are concerned that the government may not have the capacity to regulate the manufacture and sale of chang'aa and other traditional liquor.

Soon after Kibaki assented to the Bill which had been sponsored by Naivasha MP John Mututho, chang'aa brewers countrywide started to openly distill and sell their brew. The police and provincial administration who a few weeks ago mounted a campaign to get rid of illicit brews are unable to do anything as the brews are now legal.

Clergymen in Rift Valley led by Bishop Patrice Chumba of the AIC Sirikwa region have already begun collecting the signatures.

Bishop Cornelius Korir of Catholic Diocese of Eldoret said the decision to legalise the brews was wrong.

"Alcohol consumption is a crisis for this country. It should be dealt with in a manner that will not complicate the problem," said Korir.

AIC Bishop Patrice Chumba also faulted MPs and President Kibaki for legalising the brews.

"We believe it was a mistake for the MPs to think of such a Bill without consulting Kenyans and then they go ahead and pass it into law in complete disregard of the protests which we had already forwarded," said Bishop Chumba.

The Supreme Council of Kenya Muslims was equally unhappy with the provisions of the new law and announced its intention to start the process to have the law revoked or amended.

"This is a doomed society. We have failed to assent to Bills like price control for food committees and yet our MPs are very quick to pass the Chang'aa Act. As a nation we have reached a peak of madness and as Muslims we are very clear about alcohol. It is not allowed period and its unfortunate people are using their powers to destroy the society.

"As Muslims leaders we shall sit together and find a way on what to do so this Act is postponed but we are not joining with any church leaders.

They shall do what they think will postpone the operationalisation of the Act," said Adan Wachu, the SUPKEM Secretary-General.

President Kibaki signed into law the Alcohol Drinks Control Act last week. The new law legalises the traditional liquor. The manufacture and packaging of these brews will however be strictly regulated.

The brews will be packed in 250 millilitre bottles or more. The Act also reigns into the high end beers market by regulating their advertising and sale. Consequently fancy adverts that glamorise alcoholic drinks, link beer to social success and therapeutic value will now be outlawed.

Some of the brews that have been legalized have previously caused death and blinded many people especially the poor.

The new laws envisage a situation where the Kenya Bureau of Standards will be involved in the manufacture and packaging of the brew under strict regulations which will also control quality of the drinks.

The General Secretary of the Hindu Council, Rashmin Chitnis, described the issue at hand as a "complex", saying the council will consult with other religious leaders before decided the next cause of action.

"Legalising the brew has both positive and negative aspects. Legalizing it ensures the brewers will not go underground meaning the composition of the traditional brew will be less damaging to the consumer. However, since it is now legal, consumers will indulge heavily and drink during odd hours which may in turn decreases work productivity. Thus I say, it's a complex matter," Chitnis said.

Chitnis added that it was the duty of religious bodies to educate all level earners of the ill effects of over consumption of the brews.

Rev Geoffrey Songok of the Anglican Church faulted the government move to legalize the brews saying the move should have been done through a consultative process.

"We are completely opposed the legalization of alcohol because we know the impact it has caused to our society. We should deal with the problem in manner that solves it once and for all," said Songok.

But as religious leaders were raising moral issues analysts were raising concern about the future alcohol manufacturing companies like East African Breweries.

They said the new law could open up EABL, with micro-brewers springing up to capitalise on the legalisation of traditional liquor.

Controlled by Diageo, EABL dominates the alcohol market in east Africa's biggest economy and its shares are one of the most traded at the Nairobi Stock Exchange. It posted a 10 per cent rise in pretax profit for its year ended June.

"Mini-brewers would potentially set up at the local level and gain market share depending on how well they are able to control their costs," said Eric Musau, an analyst at African Alliance.

"Large brewers could start producing traditional brew but this would undercut on their existing high-margin products." "In principle, the law seeks to create sanity around issues to do with alcohol, so we are aligned with it," said Ken Kariuki, head of corporate affairs at EABL.

However, he said the industry was concerned about a proposal in the law demanding brewers show health warnings on the risks of alcohol, comprising at least 30 per cent of the total surface area of a bottle's label.

"Thirty per cent is a large portion of the package and this serves to reduce the brand name and value," said Kariuki.

EABL sells the popular beers Tusker and Guinness along with spirits such as Johnnie Walker and Smirnoff.

EABL's shares touched a low of 171.00 shillings in early trading on Friday against a previous close of 178.00, their lowest level since May.

"Investors fear that the alcoholic drinks regulations which reversed a 30-year ban on brewing and consumption of traditional liquor is set to loosen EABL's chokehold on the market," said Aly Khan Satchu, an independent analyst in Nairobi.