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  • The Somali Wire 273
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  • Published January 20, 2023

    Somalia’s recent tax increases on khat have sparked protests by women traders and renewed debate over who benefits from the lucrative trade. Khat, also known as miraa or chat, is a mild narcotic widely consumed in Somalia, with up to 75% of men regularly chewing the leaves. Since the reopening of Somalia’s borders to Kenyan-grown khat in July 2022, exports have surged to 50 tonnes per day. However, rising taxes, opaque commissions, and alleged “informal” levies have driven prices up sharply, squeezing small traders and consumers. A viral video by Somali influencer Wasiirka Caddaaladda revealed that while Kenyan farmers sell khat for around USD 3 per kilogram, by the time it reaches Somali distributors, the price has climbed to USD 16 due to transport, official taxes, and brokers’ commissions. Distributors then sell it to street traders for USD 35–40, with claims that politically connected individuals capture up to 40% of profits.

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