Sugar Task Force winds up collection of farmers views

Sugarcane transporter drives a tractor to Chemelil milling factory on August 27,2018.[ Photo: Denish Ochieng/ Standard]

The task-force appointed by the Government to look into problems affecting the six State owned sugar firms has concluded collection of views from farmers.

The task-force's co-chair Kakamega Governor Wycliffe Oparanya now says the team will meet tomorrow to compile reports gathered from farmers.

"The task-force has been round the entire sugar belt and has come up with various views in regards to what needs to be done to salvage the industry," said Mr Oparanya.

Oparanya explained that the team comprising Agriculture CS Mwangi Kiunjuri would pen the research report in Kisumu.

The task-force that spent two weeks in the cane fields will also collate some of the views suggested by a parallel task-force headed by a former MP Saulo Busolo.

Initially, the CS had declined to give the parallel task-force an ear, but gave in when Opposition leader Raila Odinga advocated for their views.

Mr Busolo's team handed in their memorandum, which Oparanya said would also be "taken into consideration".

President Uhuru Kenyatta had asked Mr Kiunjuri to form the task-force to re look the troubles in the sugar sector.

The Privatisation Commission has presented a report showing how broke the industry from which more than 8 million people directly or indirectly derive their livelihoods from is.

The Privatisation Commission Chief Executive Joseph Koskey told The Standard in an interview in Kisumu that the sugar firms were currently technically insolvent.

According to the commission, the sugar factories are indebted to the tune of Sh85.5 billion.

"So the only best way to salvage them from possible collapse or grinding to a permanent halt is by allowing the Government to refurbish, clear their debts then sell them," he said

Koskey was happy that the reality to auction the mills had actually dawned on the farmers amid revelations that majority of the factories made losses for the last three decades.

He cited the outstanding debt of the factories as at June 30, 2009 standing at Sh59.9 billion.

Despite the Cabinet having approved that the companies' debts be written off and the factories sold in 2013, nothing has happened.

"This is why the Government must rethink her strategy and possible remedies to salvage the industry from further incurring massive losses," he advised. [Kepher Otieno]