The Kenya National Sugarcane Farmers Union has criticised Deputy President William Ruto after he asked them not to supply the produce to factories that are unable to pay them their dues.
According to the unions’s secretary general Simon Wesechere, the DP’s remarks indicate that the government is one-sided yet the focus should be on reviving the ailing sugar sector.
“The State-owned millers are facing serious monetary challenges and urging farmers to take their produce to private factories won’t solve the problem as these factories cannot sustain the demand for sugarcane in this country,” he said.
Dr Ruto told a meeting of the Intergovernmental Budget and Economic Council (IBEC) in Nairobi that cane growers will be allowed to supply produce to millers who offer the best package, even as industry players discuss a solution to the sugar firms’ woes.
“Until there is some clarity on what would happen to these ailing sugar cane millers, farmers should deliver their produce to those entities that can honour their obligations,” said Dr Ruto while referring to millers like Nzoia, Chemelil, Sony, Mumias and others suffering from shortage of raw material,
This will come as good news to many farmers who have complained of delayed pay for to some millers who according to a study show that poor planning, corruption, and lack of foresight which has trapped sugarcane farmers here into a cycle of poverty. Compared to the private mills, this is derelict.
The meeting was attended by governors mostly from cane growing regions.
At the same time, the Treasury will now pay cane directly to farmers instead of using agents in a bid to stem diversion of cash meant for growers by sugar millers.
Treasury Cabinet Secretary Henry Rotich, speaking at the IBEC meeting on Tuesday, announced there would be an initial payout of Sh1.9 billion to farmers after verification of beneficiaries.
“The pending issue would now be to come up with a long-term payment solution to farmers by sugar millers,” said Mr Rotich.
Some disgruntled cane farmers are proposing to have Mumias Sugar Company sold to a private investor to help revive its fortunes.
Some growers said a strategic investor would be better suited to run the miller as opposed to relying on government funds.