We are ready to buy Mwea rice mills, farmers say

Kerugoya,

Friday, December 1, 2023

KNA by Mutai Kipngetich

Mwea Rice Mills (MRM) is one of the assets that the government has recommended for privatization in the recently released Kenyan Gazette.

 The rice mill is a limited liability company jointly owned by the National Irrigation Authority (55%) and Mwea rice farmers through Mwea Rice Growers Multipurpose Co-operative Society Limited (MRGM) (45%).

The main rice mill at Mwea Irrigation Scheme with its major function being storage, milling, and marketing of rice from the Irrigation Scheme. The plan to privatize has sparked a lot of reactions from the rice farmers and leaders of Kirinyaga County.

Mwea Member of Parliament Mary Maingi led the meeting with MRGM members where they passed a resolution that the society will purchase all government shares.

Addressing the media after the meeting at Mwea MRGM offices the legislator said Mwea Rice Mills is like a cultural heritage of Mwea and cannot be sold to outsiders. She added that if the government intends to sell its 55% share then the farmers are ready for it.

“The government can sell its shares to the Mwea farmers only. This mill is not going anywhere; we are not going to allow an outsider to purchase the facility,” The MP said.

Alfred Nderitu, former Mwea MP and rice farmer said the only option the government has is to sell MRM to MRGM. He also noted the government hasn't informed the farmers who own the 45% shares of the plans to privatize it, the number of shares, and the value per share.

Nderitu noted the 7,500 farmers with support from leaders can raise the amount the government wants and pay for the shares.

“This mill is owned by two people, the government and MRGM. We as farmers have not received any communication concerning the privatization, numbers of shares, and value per share, we are 7,500 members and we can raise any amount the government wants,” Nderitu said.

His sentiments were backed by former deputy Governor Peter Ndambiri who said the government cannot ignore 45% shareholders in decision-making. He said the government should listen to people through public participation that can be held in Mwea.

“MRM belongs to the farmers. The government has 55% shares but cannot ignore the owners of 45%. Public participation is done in Nyeri which is not fair to Mwea farmers. Government should listen to people of Mwea,” he said

Ndege Muruiki, chairperson of Mwea Rice Growers Cooperative Society, said MRGM has been in existence since 1967 and is part of MRM. He affirmed their readiness to buy all government shares in MRM.

According to the Treasury, the privatization and restructuring of the firms are expected to help the government raise additional revenue, cut demand for government resources by the firms, improve the country’s regulatory environment, encourage private sector participation in the economy, and spur competition.

Courtesy; KNA