State urged to implement sugar task force report
A farmer applies fertiliser to his sugar cane crop in Ikolomani, Kakamega County, in October last year. Leaders in the Western region have called for a speedy review and implementation of the sugar task force report.
Leaders from sugar-growing areas in Western Kenya have petitioned the government to hasten the review and implementation of the sugar task force report and revitalise state-owned millers.
They called on the government to engage strategic partners to fast-track the resumption of smooth operations in the companies and find a long-lasting solution that will guarantee cane farmers a steady market and prompt payment for their produce.
Governors Kenneth Lusaka (Bungoma), Paul Otuoma (Busia), Ochilo Ayacko (Migori), Stephen Sang (Nandi), Fernandes Barasa (Kakamega) and Anyang Nyong'o (Kisumu) said reinventing the wheel on matters sugar was unnecessary as the industry continues to face numerous challenges.
“What needs to be done is to look at the task force report, review where necessary and implement it,” said Mr Lusaka.
The county bosses also lamented the heavy debts that public millers continue to carry despite promises by previous regimes to write them off.
“The state should invest in the sugar industry the way it has done with coffee and tea,” said Mr Lusaka.
The task force report recommends enhancing sugar marketing and trade by increasing production, reducing the cost of production, proper coordination of sugar importation, ending smuggling and dumping, and improving packaging and traceability.
Policy changes
It furthers calls for policy, legal, regulatory and institutional framework changes that will provide a conducive environment for the industry.
Other key recommendations include the re-introduction of the sugar levy, the privatisation of public sugar mills to enhance their efficiency and the enactment of the Sugar Act. The sugar levy will be charged to consumers so as to raise the revenue needed to assist farmers to develop their sugar cane.
The task force also proposed strict compliance with the Common Market for Eastern and Southern Africa (Comesa) regulations and outlined a raft of reforms needed to increase the sugar sector’s productivity.
However, leaders in Bungoma have opposed plans to privatise Nzoia Sugar Company and instead want additional funds to be allocated to the firm.
The leaders have further demanded an overhaul of the company’s management and the appointment of a competent team that will deal with the challenges facing the sector.
“The factory is the county’s economic lifeline and we will not allow it to be privatised,” said Mr Lusaka.
The Bungoma-based firm boasts the largest cane nucleus, standing at 10,000 acres, with an annual turnover of Sh3 billion. It is currently milling less than 2,000 tonnes of cane a day against an installed capacity of 3,000 tonnes, according to the management.
