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GDP Requirements for Pharmaceutical Warehouses in Kenya

&By Clay & Associates Advocates4 min readLife Sciences & Healthcare

A pharmaceutical wholesale licence in Kenya is only as secure as the warehouse behind it. The Pharmacy and Poisons Board (PPB) licenses wholesalers premises by premises, and it can refuse or revoke a licence for reasons relating to the premises alone. Good distribution practice, usually shortened to GDP, is the body of standards that decides whether a warehouse passes. This guide explains where GDP sits in Kenyan law, what the international standard expects, and how investors can avoid building or leasing a warehouse that fails inspection.

Where GDP Sits in Kenyan Law

Several provisions of the Pharmacy and Poisons Act (Cap. 244) give GDP its legal force:

  • Premises must be registered. Section 23 makes it unlawful to carry on the business of a pharmacist except in premises registered with the Board, and allows the Board to refuse or delete a registration for good and sufficient reason stated in writing.
  • Licences are tied to premises. Section 27(3) requires a separate wholesale dealer’s licence for each set of premises. Section 27(2) allows the Board to refuse, decline to renew or revoke a licence for any good and sufficient reason relating to the applicant or to the premises in which the business is, or is proposed to be, carried on.
  • Inspection powers. Section 47 requires licensed sellers of poisons to produce their licences on demand and keeps their books open to inspection by authorised officers at all reasonable times. Section 45 provides for search warrants, and section 48 makes obstructing an authorised officer an offence.

The detailed standards sit below the Act. The PPB has published Guidelines for Good Distribution Practices for Pharmaceuticals, and the international benchmark is the World Health Organization’s guidance on good storage and distribution practices for medical products. The points below reflect that international standard; operators should check them against the PPB’s current guideline before an inspection.

The Building and Its Environment

GDP starts with the physical warehouse. The WHO guidance expects storage areas with enough space for orderly storage, protection from weather, pests and unauthorised access, and storage conditions that are controlled and monitored. In practice, inspectors look for:

  • Temperature and humidity control, with calibrated monitoring and records, and a validated cold chain for products that need refrigeration.
  • Segregation of quarantined, rejected, expired, recalled and returned stock from saleable stock, so that none of it can be shipped by mistake.
  • Security, including restricted access and, for controlled medicines, locked storage with tighter access.
  • Cleanliness and pest control, with written procedures and records showing that they are followed.

Many Nairobi industrial units were designed for general goods. Retrofitting air conditioning, monitoring and secure cages can be expensive, so the lease should be negotiated with GDP in mind. A lease conditional on PPB approval, or at least an exit right if the premises fail inspection, protects the tenant. Our guide to obtaining a pharmaceutical wholesale licence in Kenya covers the licence process itself.

People and Procedures

A compliant building with weak procedures still fails. The WHO guidance expects a quality system: written procedures, trained staff, defined responsibilities and records that show what happened to each batch. For a Kenyan wholesaler, that system sits under the registered pharmacist who is in control of distribution, as section 27(4) of the Act requires. Our guide to the superintendent pharmacist explains that role.

Core procedures usually include receipt and inspection of goods, first-expiry-first-out stock rotation, order picking and dispatch, handling of complaints, recalls and returns, destruction of expired stock, and periodic self-inspection.

Suppliers, Customers and Traceability

GDP is not only about what happens inside the warehouse. A distributor is expected to buy from authorised suppliers and to supply only persons entitled to receive the products. In Kenya, that means checking that each customer pharmacy, hospital or clinic is properly registered or licensed before selling to it. Rule 3 of the Pharmacy and Poisons (Registration of Health Products and Technologies) Rules, 2022 also prohibits importing or selling any health product that is not registered, so product registration status should be checked before stock is bought.

Traceability ties these together. The business should be able to show, for any batch, where it came from, where it was stored and where it went. That record is what makes a fast recall possible and what protects the business if counterfeit or diverted stock is found in the market. Our guide to counterfeit medicines and Kenya’s enforcement gaps explains why regulators focus on it.

Transport

Conditions must be maintained in transit as well as in storage. Delivery vehicles, cool boxes and third-party couriers fall within the distributor’s responsibility. Contracts with logistics providers should require them to meet the distributor’s GDP standards, keep temperature records, allow audits, and report excursions and losses promptly.

How We Can Help

Clay & Associates Advocates advises pharmaceutical distributors on licensing, warehouse leases, logistics contracts and regulatory inspections, and works with technical consultants on GDP readiness. Contact our Life Sciences and Healthcare team or our Regulatory and Compliance practice to plan your premises.

Sources: Pharmacy and Poisons Act (Cap. 244), sections 23, 27, 45, 47 and 48; Pharmacy and Poisons (Registration of Health Products and Technologies) Rules, 2022, rule 3; WHO, Good storage and distribution practices for medical products (TRS 1025, Annex 7).

Frequently asked questions

Is GDP a legal requirement in Kenya?

The Pharmacy and Poisons Act requires registered premises and allows the PPB to refuse or revoke a wholesale licence for reasons relating to the premises. GDP standards are how the Board assesses whether premises are fit, so in practice they are a condition of trading.

Do we need a separate licence for a second warehouse?

Yes. Section 27(3) requires a separate wholesale licence for each set of premises.

Can we outsource storage to a third-party warehouse?

Possibly, but the arrangement must keep products in licensed, compliant premises and keep the distributor accountable. Confirm the approach with the PPB before signing.

Should we sign the warehouse lease before applying?

Only with protection. A lease conditional on PPB approval, or with an exit right if the premises fail inspection, avoids being locked into an unusable building.

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This article is general information on Kenyan law as at its publication date, not legal advice. Reading it does not create an advocate and client relationship.