Alcohol industry reels from new proposed radical curbs on sales
Business
By
Brian Ngugi
| Dec 14, 2025
A stringent draft national policy on alcohol, now awaiting Cabinet consideration early next year, threatens to impose sweeping commercial prohibitions across Kenya.
This could mark an end to supermarket sales, online delivery services, and all major sports sponsorships.
The proposed rules, detailed in the National Policy for the Prevention, Management and Control of Alcohol, Drugs and Substance Abuse (2025), and reviewed by The Sunday Standard, have sparked immediate fury from industry stakeholders.
They fear and warn that the plan—designed by the Kenya Kwanza government to tackle substance abuse—will instead cause catastrophic job losses, collapse businesses, and destroy livelihoods across the entire alcohol value chain.
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The comprehensive rules move beyond previous regulatory guidance to implement prohibitions that will immediately redefine how alcohol is sold and promoted in the country.
The policy, launched by the Ministry of Interior and National Administration in collaboration with the National Authority for the Campaign Against Alcohol and Drug Abuse (Nacada) earlier this year, is a dramatic policy move by the Kenya Kwanza government to safeguard public health and tackle a "multifaceted substance abuse epidemic" that is seen as undermining national progress.
The new framework addresses both demand reduction—through treatment and prevention—and supply reduction, via rigorous enforcement and regulation.
For many businesses in the alcohol value chain, the focus on supply reduction has resulted in a raft of restrictions, which include a complete prohibition on licensing many major sales channels, a blanket ban on celebrity endorsements, and the effective shuttering of the alcohol delivery economy.
One of the most immediate and impactful shifts for consumers is the raising of the legal age for alcohol access and consumption.
The policy clearly creates a new landmark standard: “The minimum legal age for handling, purchasing, consuming and selling of alcohol shall be 21 years.”
This represents a significant national legal change, aligning with the specific policy objective to "provide and promote greater protection from the pressures to use alcohol and other drugs for persons under the age of 21."
Furthermore, the policy specifies that “there shall be no person below the age of twenty-one (21) allowed to access or enter any alcohol selling outlets, whether alone or accompanied,” closing off avenues for youth exposure to alcohol retail environments.
Perhaps the most commercially disruptive provision targets the mainstream retail sector, players say.
The policy explicitly prohibits the sale of alcohol in several key channels, including: “supermarkets” and “public beaches, public parks, amusement parks, recreational facilities ... petrol stations.”
Further cementing the retail ban, the policy states that “licensing of the general retail Alcoholic drinks off-licence (wines and spirits, supermarkets, franchise stores) retailers shall be prohibited.”
For major chains, this is not a minor adjustment but an existential threat to a core, high-margin category.
Retail operations directors in Nairobi confirmed to The Sunday Standard they are already analysing the potential full extent of the policy’s impact on customer foot traffic, the average shopping basket size, and the overall financial viability of their smaller, convenience-focused neighbourhood outlets.
The elimination of packaged alcohol from general retail aisles signifies a complete withdrawal of what many consumers viewed as a routine grocery item.
This move is part of the Ruto government’s broader objective to "prevent, reduce, and control access to and availability of alcohol, drugs, and substances of abuse," effectively forcing packaged alcohol sales back into highly restricted, dedicated outlets—many of which will also face severe restrictions.
The fast-growing and popular quick-commerce and digital delivery sector, which saw rapid growth in urban centres during and after the Covid-19 pandemic, is also directly targeted.
The policy lists, among its prohibited modes and places of sale, “online sale of alcohol,” and “home deliveries and couriers.”
This single clause effectively grounds the operations of any service offering alcohol delivery via app or website, immediately disrupting the supply chain from retailer to consumer.
A logistics manager for a prominent e-commerce platform noted the shock within the industry, explaining that the evening orders for beverages, which fueled their quick-commerce vertical, are now considered non-viable, calling for an urgent legal review of the clause's scope.
The restriction aligns with the policy’s stated goal of regulating sales, marketing, and production to reduce harmful alcohol consumption.
The policy’s rules on advertising and promotion are arguably the most comprehensive attempt yet to sever the connection between alcohol brands and public advertising often portrayed by desirable public life, from sports glory to celebrity endorsement, marketing executives say.
The measures cover an exhaustive list of prohibitions, leaving almost no room for existing sponsorship models to survive, stakeholders say.
A manufacturer or distributor of alcoholic drinks is, for instance, under the new policy explicitly forbidden from using a product name to “name or brand a sports team” and cannot “sponsor or brand a sports league, tournament or a national team.”
Players say this policy action strikes at the heart of longstanding commercial agreements, effectively dismantling the sponsorship architecture for numerous high-profile sporting events and teams across the nation.
The policy goes ahead to implement a sweeping ban on using influential public figures for promotion, stating: “There shall be no use of entertainment, sports personalities, media personalities and models, social media influencers, or celebrities in endorsing, promoting and advertising alcoholic drinks, drugs and substances.”
The rules also control the image of those who can be featured, stipulating that “any person used in advertising or endorsing alcoholic drinks shall be above 25 years.”
This is coupled with a prohibition on “lifestyle advertising through any form of advertisement or promotion.”
The ban on lifestyle advertising means brands cannot imply that consumption is “acceptable or fashionable ... before, during, or after playing sports, driving, operating machinery, or other” activities.
Additionally, audiovisual advertising will be significantly curtailed by a ban on broadcasts via platforms “between 5.00 am and 10.00 pm” heavily restricting exposure during peak family viewing hours.
In a measure that will require mass-scale restructuring of the existing licenced environment, the policy introduces a radical zoning restriction: “Licensing of any outlet retail... located within a minimum of three hundred metres from any nursery, primary, secondary, and higher learning institutions shall be prohibited.”
The retroactive application of this 300-mre rule threatens the commercial survival of a vast number of established outlets, particularly in high-density urban areas.
Backers of the new policy, including the Kenya Kwanza government, position the policy not as a commercial attack, but as a “critical public health and national development necessity.”
They say the overall goal is simple: to “safeguard society from the harmful effects of alcohol, drugs and substance use.”
The government cites alarming global and national statistics to justify the tough stance.
Harmful alcohol use caused an estimated three million deaths globally in 2016, accounting for 5.3 per cent of all deaths, the policy says.
The policy notes that Kenya is dealing with a crisis fuelled by “illicit alcohol, weak enforcement, and high demand for rehabilitation services.”
The policy also links substance abuse directly to the escalating crisis of Non-Communicable Diseases (NCDs) in the country, which account for 33 per cent of all deaths and are a major driver of poverty for affected households.
By tackling alcohol and drug abuse, the Ruto government reckons it aims to support the Sustainable Development Goals (SDGs), specifically Goal 3, Target 3.5, which focuses on strengthening the prevention and treatment of substance abuse.
The Alcoholic Beverages Association of Kenya (ABAK) has, however, called for immediate and urgent consultations with the government, arguing that while they respect the objective of public health, the detailed provisions outlined in the policy represent a “total commercial disruption” that could trigger significant job losses and financial instability across the value chain.
The new policy framework demands action from all levels of government and key stakeholders.
Nacada is tasked with coordinating the implementation. The next major step is the development of a National Action Plan.
Nacada says this plan, which will be developed collaboratively, will detail “the strategies, activities, targets, and timelines for enforcement, ensuring accountability through integration with the national performance management system.”
For supermarkets facing stock removal, tech platforms facing the loss of a service, and sports leagues losing core funding, the 2025 policy has jolted the industry and already forced businesses to redraw their commercial maps and prepare for a future where alcohol is far less visible and far harder to access.