Cane farmers freeze supply to miller over Sh270m debt

Muhoroni Sugar Company in Kisumu county / MAURICE ALAL
Muhoroni Sugar Company in Kisumu county / MAURICE ALAL

More than 23,000 farmers in Kisumu and Nandi have stopped delivering sugarcane to the Muhoroni Sugar Factory over unpaid Sh270

million arrears.

On Monday, the farmers stormed the factory to demand their cash and threatened to eject the receiver managers. The state-owned Muhoroni and Miwani sugar factories are in

receivership.

Kenya Sugarcane Growers’ Association secretary general Richard Ogendo said the money has accrued for the last seven months.

He said farmers will not deliver cane until they are paid all their money. Ogendo said farmers want receiver managers Asa Okoth and Fred Kibenei removed over mismanagement.

However, the management promised to address the plight of farmers tomorrow. Okoth said they are working on the issues they raised.

On the brink of collapse

Ogendo accused the managers of running down the factory despite receiving a massive cane harvest from 15,000 acres. He said the milling firm is on the brink of collapse.

The farmers have continued to suffer under the leadership of Okoth and Kibenei , he said.

“They harvest cane and crush daily, yet they cannot pay us. We want to know where the managers are taking the money,” Ogendo said.

Farmers have asked government to probe the factory over alleged misuse of cash in the two factories.

Ogendo said Muhoroni was last audited in 2014. He wants a fresh audit by competent auditors.

The farmers asked Kisumu Senator Fred Outa and Muhoroni MP Onyango K’Oyoo to urgently intervene.

“We are appealing to our leaders to push the national government to pay us and save the company from collapsing,” Ogendo said.

Farmer Sam Okello said they are yet to receive payment for seven months. The former Kisumu mayor wondered why there is delay. He wants the managers removed, sying they don’t have farmers’ interests at heart.

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