
A crowd of protesters accompanyin DAP-K Party leader Eugene Wamalwa and Trans Nzoia Governor George Natembeya march to Nzoia Sugar Company before they were stopped by police using teargas, May 12, 2025. /GEORGE NATEMBEYA/X
Leaders from Western Kenya have vowed to stop the leasing of Nzoia Sugar Company to private millers in what they say is aimed at safeguarding the region's economic fortunes.
The government finalised the leasing of four state-owned sugar factories to private millers for a period of 30 years.
But leaders led by Trans Nzoia Governor George Natembeya and DAP-K Party leader Eugene Wamalwa have opposed the leasing of the millers, particularly Nzoia Sugar Company.
On Monday, the group organised a march to the factory to throw out the new management but they were stopped midway by armed police at Bukembe in Bungoma county.
Police fired teargas canisters to disperse them and their supporters.
Natembeya and Wamalwa were accompanied by Kabuchai MP Majimbo Kalasinga, former Kakamega Senator Cleophas Malala, Bungoma gubernatorial aspirant Zachariah Barasa, and a host of MCAs.
The leaders resorted to venting their frustration and commented on the day's development via social media.
Natembeya said the Nzoia Sugar Company is a critical economic pillar for Western Kenya, supporting more than 45,000 farmers and providing livelihoods for millions directly and indirectly.
He said its lease to a private miller runs the risk of destabilising the economic livelihoods of the locals and the region at large.
He vowed continued resistance of the takeover, saying teargas is a worthy price to pay for the course.
“We must get to the bottom of this for the sake of our people. I perceive the privatisation or leasing of this institution as a menace to the region's economy, particularly given its pivotal role in supporting sugarcane farmers and local communities. The smell of tear gas is necessary in the quest for freedom,” he said on X.
Wamalwa said the new management should keep off Nzoia Sugar Company premises until the case filed in court is heard and determined.
He justified their aborted march to the factory saying it's what was at their disposal in the face of disobeyed court orders.
“If a government does not respect court orders and the rule of law and forcefully hands over public assets like Nzoia Sugar Company against court orders and the wishes of the people, what does it expect the citizens to do?” Wamalwa wrote on X.
“We today said Tawe (Luhya for ‘No’) to Rai and declared him persona non grata for violating court orders and asked him to keep off Nzoia until the case pending before the High Court is heard and determined.
“We also reminded him that the court today (Monday) extended the orders halting the leasing process and has given us leave to file formal contempt of court proceedings against him and his cronies in the government," Wamalwa said.
The leasing of the sugar companies to private operators is a strategic move by government to rescue Kenya’s sugar industry from collapse.
Nzoia Sugar Company was leased to West Kenya Sugar Company; Chemelil Sugar Company to Kibos Sugar & Allied Industries; Sony Sugar Company to Busia Sugar Industry Ltd while Muhoroni Sugar Company was leased to West Valley Sugar Company.
The government’s decision followed years of financial distress characterised by accumulated debts to farmers and workers running into billions of shillings, outdated machinery, inefficiency and poor governance as well as declining cane yields and falling competitiveness in regional and global markets.
The process to lease the factories followed broad-based stakeholder engagement since 2015, with approvals from Parliament and the Cabinet, and was subject to public and legal scrutiny.
The lease terms and conditions state that all assets, including land, remain the property of the national government while lessees will pay annual fees based on prevailing market rates.
Proceeds will be collected by the Kenya Sugar Board for reinvestment in local communities and cane development as the government seeks to revive the sugar sector and restore its contribution to the economy.
Under the deal, the government has committed to clearing Sh1.7 billion owed to farmers and Sh5.6 billion to workers, with a phased payment schedule running to June 2026.
There is a one-year transition during which lessees will evaluate and determine workforce needs.
Existing employees may be retained, and the government will settle all salary arrears, pensions, and statutory contributions up to the handover date.