SUGAR SECTOR WOES

Oparanya, Wangamati defend leasing of sugar mills

Say those spreading propaganda to derail the leasing process should desist from such acts.

In Summary

• Among those interested in managing the firms are two firms linked to tycoon Jaswant Rai, West Kenya Sugar Company and Sukari Industries.

• Others are China CAMC Engineering Company Limited, Shenzhen Start Instruments, Mehta Group, Kibos Sugar, Butali Sugar Mills, Mini Bakeries and Kuguru Food Complex. 

Kakamega Governor Wycliffe Oparanya and Kisumu's Anyang' Nyongo' on Thursday in Kisumu
SUGAR WOES Kakamega Governor Wycliffe Oparanya and Kisumu's Anyang' Nyongo' on Thursday in Kisumu
Image: MAURICE ALAL

Two governors have dismissed claims by some leaders from Western that five state-owned sugar mills were being sold to private investors.

Kakamega Governor Wycliffe Oparanya and his Bungoma counterpart Wycliffe Wangamati on Thursday in Kisumu defended the government's plans to lease the mills. 

The factories are Chemelil Sugar, Miwani Muhoroni (under receivership), Nzoia Sugar and South Nyanza Sugar company.

 

Oparanya told leaders to be honest and support the government's effort to revitalise the mills to make them more productive. 

"No sugar factory is being sold and such claims should be treated as baseless and untrue. All we are interested in is to make our mills vibrant for the well-being of farmers and workers," he said.

Oparanya termed as false claims that Nzoia Sugar Company was sold to a private investor. 

"There has been reports that the factory has been sold for Sh1 billion. That is a baseless allegation. No companies will be sold but leased to investors with financial capacity to run them," he said.

Wangamati said those spreading propaganda to derail the leasing process should desist from such.

"It is shocking to hear a section of leaders alleging that factories are going to be sold. Leasing is not selling but renting," he said. 

Wangamati criticised those opposed to leasing of the factories to instead provide a solution to make them more productive at a low cost.

 

"Stop making baseless allegations and give us workable solution if you're opposing the efforts to revitalise the sugar sector," the Bungoma boss said.

He thanked President Uhuru Kenyatta for writing off debts owed by the five companies, which for years have been facing financial crisis. 

Agriculture Cabinet Secretary Peter Munya has formed a team to guide the process of leasing the firms.

Among those interested in managing the firms are two firms linked to tycoon Jaswant Rai, West Kenya Sugar Company and Sukari Industries.

Other interested lessors are China CAMC Engineering Company Limited, Shenzhen Start Instruments, Mehta Group, Kibos Sugar, Butali Sugar Mills, Mini Bakeries and Kuguru Food Complex.

 

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