Kenya National Federation of Sugar cane farmers has proposed that 40 percent of the income generated from by-products be paid to growers in what is expected to attract strong opposition from millers.
The lobby has submitted the proposal to the State-appointed sugar task force, saying farmers will only back their effort if the final report recommends that they should be paid a slice of the byproduct income.
Federation’s chairperson Ibrahim Juma says currently farmers do not benefit from other revenue streams.
By-products from sugar production include ethanol, which is produced from molasses, and electricity generated from bagasse. The two contribute immensely to the income of the millers, especially ethanol, which is an export product.
“We want the millers to get 60 percent with farmers earning the remaining fraction that comes out of the by-products,” said Mr Juma in Nairobi yesterday.
At the moment, sugar farmers are only paid based on the tonnage of cane delivered.
Millers have previously locked horns with farmers over the push to have the payment based on sucrose content, which is favoured by the Common Market for Eastern and Southern Africa Secretariat.
However, some farmers have opposed the proposed.
Mr Juma said countries such as Mauritius pay farmers for both the cane and its by-products.
The lobby also dismissed a parallel task force — Sugar Campaign for Change — that had been collecting views from farmers.