Ruto changes tune, says Nzoia Sugar won't be privatised

"The government will install professional management that will inject efficiency."

In Summary
  • Ruto spoke on the same day a case was filed at Milimani Law Courts challenging the privatisation of Nzoia, Chemelil, Muhoroni and Sony sugar companies.
  • Meanwhile, the President put the management of Nzoia Sugar Company on the spot over poor management of the miller.
President William Ruto speaking in Bungoma on February 1, 2024.
President William Ruto speaking in Bungoma on February 1, 2024.
Image: PCS

President William Ruto has said Nzoia Sugar Company will not be privatised.

This is after the firm had been listed among five sugar companies earmarked for privatisation by the national government.

However, speaking in Bungoma on Thursday, the President said the firm will neither be sold nor leased.

"Nzoia Sugar Company is not on sale. The firm that is at the heart of Western Kenya’s economy is neither to be privatised nor leased. The government will install professional management that will inject efficiency in the running of the sugar company," he said.

The President spoke on the same day a case was filed at the Milimani Law Courts challenging the privatisation of Nzoia, Chemelil, Muhoroni and South Nyanza sugar companies.

Athanas Wafula Wamunyinyi told the court that the public ought to have been considered and involved in the decision-making process before the tendering process was initiated.

Ruto, however, said the new management that will be injected in Nzoia Sugar, whose debts have since been fully written off, will enable the miller to pay farmers and workers’ dues on time.

"The County Government of Bungoma will also enjoy an annual dividend of not less than Sh300 million," he added.

The President spoke when he attended the Nzoia Sugar Company Farmers’ meeting in Bungoma County.

He issued cheques to farmers of the company and flagged off the National Fertiliser Subsidy Programme.

Nzoia Sugar Company entrance.
Nzoia Sugar Company entrance.
Image: PCS

Meanwhile, the President put the management of Nzoia Sugar Company on the spot over poor management of the miller.

He said the management is to blame for the company's financial woes.

He added that most privatised companies can afford to pay their farmers and workers but the miller has failed to do so in recent years.

"I shall sit down with your leaders until we get the correct formula because most privatised companies can pay their farmers and workers meaning the main problem is with the poor management and not sugar cane farming," he said.

The President previously made similar remarks and vowed to effect leadership changes as part of the government's strategy to revamp the ailing cane miller. 

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