MELTA Warns of Mass Job Losses as NACADA Proposes Tough New Alcohol Rules
NAIROBI, Kenya, Nov 6 – The Small and Medium Liquor Traders Association (MELTA) has strongly opposed the new alcohol regulations proposed by the National Authority for the Campaign Against Alcohol and Drug Abuse (NACADA), warning that the rigid restrictions threaten over two million livelihoods across the country.
The controversial guidelines are part of NACADA’s updated 2025 National Policy on Alcohol, Drugs, and Substance Abuse.
While the association voiced support for community rehabilitation programs, public education campaigns, and specialized safeguards for vulnerable groups and Persons with Disabilities (PWDs), it cautioned that key economic restrictions within the draft rules could devastate the hospitality sector.
Mass Unemployment and Illicit Alcohol ConcernsAmong the most contested proposals is raising Kenya’s legal drinking age from 18 to 21 years.
According to MELTA, young adults between 18 and 20 make up nearly 80 percent of the frontline workforce in local bars, restaurants, and entertainment venues.Citing 2024 industry statistics, MELTA highlighted that more than 2 million young adults rely directly on liquor-related trade for their livelihoods.
Industry leaders argue that barring this demographic will exacerbate nationwide unemployment and inadvertently fuel the growth of dangerous, unregulated third-generation spirits.
“Most of these adults between the age of 18 and 20 are not only going to be rendered jobless but also fall back to an unnecessary excuse to trade and consume illicit, illegal, substandard, and poison-laced alcohol,” MELTA stated, adding that the move undermines national job creation targets.
Radius Bans Threaten Urban Establishments
The association also raised alarms over a proposed blanket ban prohibiting liquor outlets from operating within a 300-meter radius of learning institutions, places of worship, and residential zones.
Speaking to the media in Nairobi, MELTA Chairman Frank Mbogo who previously served on the Kenya Liquor Licensing Board stressed that such spatial requirements are practically impossible to enforce in high-density urban areas.
“The proposed rule is definitely going to hurt businesses and subsequently lead to their total shutdown, especially in metropolitan areas like Nairobi, which are usually densely populated with minimal space from one building to another,” Mbogo stated.
Impact on E-Commerce and Micro-Logistics
The proposed regulations also target digital sales, seeking a complete ban on online liquor purchasing and home delivery services.
MELTA pointed out that hundreds of micro-entrepreneurs rely on delivery models to service bank loans taken to purchase motorbikes and logistics equipment.
A sudden ban on home deliveries could default these loans and force small-scale operators into bankruptcy.
“Will this be uplifting our small and micro businesses in the liquor industry, or sinking them to a bottomless pit of annihilation?” Mbogo posed.
Call for Stakeholder Engagement
Rather than an immediate rollout, MELTA is urging NACADA and the national government to pause implementation and conduct a comprehensive economic impact assessment alongside key industry stakeholders.
The association emphasized its commitment to finding a balanced outcome that advances public safety without crippling small businesses.
“We propose a win-win mechanism for both liquor industry players and NACADA in a way that protects businesses and jobs while promoting responsibility and accountability in our communities”.
