Farmers oppose Sony Sugar leasing over Sh560 million arrears
A loaded tractor arrives at Chemelil Sugar Company. Chemelil, along with South Nyanza, Muhoroni, Miwani and Nzoia sugar companies are to be privatised. The public millers are saddled with huge debts.
Sony Sugar/South is one of the five State-owned millers already marked for leasing by the government. The others are Chemelil, Miwani (under receivership), Muhoroni (under receivership) and Nzoia.
Farmers' representatives said the lease will leave them battling numerous court cases over cane delivered to Sony Sugar if the process goes on before they are paid.
Sony Sugar Managing Director Peter Ligawa said the company can only make the payments when it resumes operations.
Farmers at the cash-strapped Sony Sugar Company have piled pressure on the government to pay their dues before considering leasing the mill to a private entity.
Those who spoke to the Nation said the company already earmarked for leasing owes them over Sh560 million, which they risk losing should the government carry on with its plans.
