Union Lauds Bailout of State Owned Sugar Factories

Kisumu,

Friday, October 13, 2023

KNA by Chris Mahandara

The Kenya Union of Sugarcane Plantation and Allied Workers has lauded the Cabinet decision to bail out struggling State owned sugar millers.

Union General Secretary Francis Wangara said the announcement by the Head of State on Monday was a reprieve to workers in the sector who have gone for years without pay.

Wangara said with the Sh117 billion set to be released to the sugar millers from next week, priority must be given to workers who were reeling in debt.

He said the State owned factories- Muhoroni, Nzoia, Sony, Chemelil, Mumias and Miwani owed workers over Sh5 billion in salary arrears which must be cleared in full before the government embarks on leasing the firms.

Addressing the media in his office in Kisumu, Wangara thanked the government for the gesture calling for transparency in the planned leasing process to ensure that the sector is revived.

Workers and farmers, he added, must be fully involved in the process so as to address all the existing challenges as investors take up the management of the firms.

“We are appealing to the government not to run the show alone but to bring workers and farmers on the negotiation table as this process kicks off,” he said.

“It is these workers who are going to make these factories productive. The farmers are here also to do business with the firms. Therefore, the two have a key role to play and they must be involved in the leasing process,” he added.

His sentiments were echoed by the Kenya Sugarcane Growers Association Secretary General Richard Ogendo who also thanked the government for writing off the debt to ease the burden on farmers.

“This is a very good move for the sugar industry. We have been chasing this for the last 18 years and we are glad that for the first time, we have a President who has seen it fit for sugarcane farmers to be mainstreamed,” he said.

Farmers, he added, were keenly following the leasing process to ensure that it was beneficial to them after years of struggling with the crop.

He cautioned those involved in the process against underhand dealings adding that farmers would not hesitate to move to court to block the process if it is flawed.

“We have seen in the past when government agencies are being privatised or leased some briefcase characters hijack the process. This we are not going to allow,” he said.

Courtesy; KNA