Reviving sugar companies: MPs ratify Gov’t plans to commercialise troubled sector

The National Assembly has ratified action plans from the National Treasury on how to revive and commercialize State-owned sugar companies in the country.

During a special sitting, MPs among other things approved a raft of measures that include banning millers from importing sugar, following week-long deliberations in Kisumu County.

 “We had a bipartisan approach in the meetings in Kisumu, all MPs from across the isle speaking in one voice to revitalize the sugar sector,” the National Assembly’s Finance Committee Chair Kimani Kuria said.

Kiharu MP Ndindi Nyoro added: “We have seen the Treasury proposals and as a committee, we are satisfied that issues like paying all debts owed to farmers must be top priority.”

Among the proposals deliberated in the National Assembly chambers to revive the sugar sector was the merger of Chemelil and Muhoroni sugar factories.

The Finance Committee report indicated that farmers from Chemelil and Muhoroni did not support the merger of the two sugar factories, but that the two companies supported leasing.

 “Farmers also presented to us about the merger of Chemilil and Muhoroni...the two are close to each other distance-wise,” Kuria said.

It also emerged during the debate that the five sugar companies; Nzoia, Muhoroni, Miwani, Chemelil and South Nyanza, had debts amounting to Ksh.128 billion.

But MPs want to have a thorough audit conducted to ascertain the debts.

Minority side MPs however warned against powerful individuals taking advantage of the commercialisation of the sugar mills.

“We know there are cartels now hanging around in airports, waiting for this House to pass this motion so that they can now come in and take over...we are warning, we are watching,” Minority Leader Opiyo Wandayi noted.

 “We want Rai to be a lesson…so that anyone who wants to steal the sweat of our people is warned,” MP Jack Wamboka stated.

Majority Leader Kimani Ichung’wah and his minority counterpart Opiyo Wandayi clashed during the debate after the Majority Leader claimed that Azimio leader Raila Odinga was part of the private individuals who owed Mumias Sugar Company millions of shillings.

“The leader of ODM owes Mumias Ksh.300 million…mambo ni matatu, he must pay,” Ichung’wah said.

Wandayi chimed in: “Mr. Speaker, we are not going to take lightly remarks from Ichung’wah on our party leader, he must withdraw.”

Parliament having approved the Treasury's pointers on the revival of the sugar mills, the ball now rolls back to the Executive to set up necessary policies and financial allocation to revive the sugar sector.