Why government sugar companies don't thrive, Dr Mukwahana

Western
By Emmanuel Kipchumba | Sep 08, 2023

Industrialization PS Dr Juma Mukhwana has listed reasons that have frustrated the revival of the government-owned sugar factories.

He said decision-making that takes long has made it difficult to run government owns sugar companies.

Dr Mukhwana also listed issues around the Procurement Act and Public Finance Management Act which he said, hold the factories back from competing with the private sector.

He said these reasons have hindered efficient running of government owned factories in the region from competing with those in the private sector.

Dr Mukhwana admitted that the government run factories are faced with a lot of challenges, among them, reducing land size under cane farming.

He said to run the government factories efficiently and effectively, there is a need to benchmark with the management of the private sector.

"As we think about the model that we are going to do, we must bring private sector management into this sector for us to succeed," Juma said.

PS was speaking at the on-going two-day sugar conference in Kakamega County organised by the Lake Region Economic Block.

The government seeks to revive the ailing sugar industry that has been a major concern of the cane farmers in the western region.

The sugar companies owned by the government are Nzoia, Chemelil, Miwani, Muhoroni, South Nyanza and Mumias.

President William Ruto in his recent five-day tour to the western region pledged his administration's commitment to resolving the long-standing challenges facing the sugar industry in the Western region.

The Cabinet also resolved to reverse its earlier decision to privatize state-owned entities within the sugar sub-sector and approved the programme for the revival and commercialization of the sugar companies.

Share this story
Harambee Starlets fall to Matildas in Fifa Series final
Kenyans miss many chances against the star-studded Australia side.
Slot in the firing line as Liverpool collapse to PSG
Liverpool suffered a heavy Champions League exit to PSG, piling pressure on manager Arne Slot after a trophyless and turbulent season.
Star-studded line-up sets stage for tight race at Kip Keino Classic
Top Kenyan and global athletes are bracing for a high-stakes showdown at the Kip Keino Classic set for April 24 in Nairobi, with expectations running high ahead of the evening meet.
Atletico 'ready' for Champions League success at last
Atletico Madrid coach Diego Simeone said that his team was ready to finally win the Champions League after knocking out Barcelona on Tuesday to reach the semi-finals.
Ekitike injury 'looks really bad', says concerned Slot
Slot had paired Ekitike up front alongside Alexander Isak, who was making his first start since breaking his leg in December.
.
RECOMMENDED NEWS