High paper prices hurt book publishers in Kenya

By DAVID OHITO

It is back to school again, but the book industry in Kenya is reeling under the effects of skyrocketing paper prices in the world market coupled with low purchasing power for their book titles.

Citing rising raw material costs for missed earnings, shrinking profits and frequent change of syllabus texts by the Ministry of Education, publishers are sending a cry to the Government to intervene by giving tax waivers on paper and inputs used to produce school books.

Publishers warned that free primary and secondary education goal may be jeopardised by the prohibitive cost of books beyond the reach of many parents and students.

But in this challenging environment, where Pan Paper Mills in Webuye , Kenya's sole manufacturer of paper stopped production, publishers are struggling with strategies to protect their companies – without drastically raising book prices.

A vendor sells books in the streets of Nakuru. Local publishers have been warned against increasing costs of text books by more than 12 per cent. PHOTO: BONIFACE THUKU/STANDARD]

Local publishers are equally grappling with a government circular issued by Ministry of Education headquarters prohibiting them from increasing costs of text books by more than 12 per cent.

Moran Publishers, a Kenyan fully owned enterprise took over the English interests of Macmillan Kenya last week and immediately requested the Government to consider subsiding the cost of paper for school books.

Moran Publishers Managing Director David Muita said the cost of printing books has been erratic.

Cost of printing

"The printing costs have fluctuated between 20-35 per cent in the last one year."

Kenyan publishers sources of paper include Sweden, Germany and South Africa.

"We request tax concession on inputs like ink and VAT that go into book publishing," Muita said as he took over Macmillan publishers at his Judda Complex offices along Forest Road, Nairobi.

"The Book Fund if properly managed will go along way in increasing the book ratio to pupils," Muita said.

The Government allocates Sh1,200 per child per year to support learning, but industry observers argue only Sh500 goes into both exercise and text books.

Oxford University Press (OUP) sales and marketing manager James Ogolla says the Government should intervene and cushion publishers against taxes and the high cost of energy. "The costs of book production are further pushed by high energy costs. We rely on commercial printers and they pass on this cost to publishers," Ogolla said.

Ogolla announced that OUP will offer discounts to students selected to join Form One as gesture to supports the first lot of Free Primary Education scheme to join secondary schools.

　

Source: The Standard | Online Edition