“By the time the President ordered we pay farmers in October, Chemelil Sugar, for example, owed us Sh210 million in November which has now accumulated to Sh271 million. Nzoia too owed us Sh231 million, Mumias (Sh400 million), Sony (Sh168 million) and Muhoroni (Sh229 million).
“Muhoroni Sugar Company is requesting an injection of Sh500 million from us. Sony Sugar has also been surviving on loans. In fact, they are closing next week for maintenance which requires Sh281 million.”These were CS Kiunjuri’s own words when he was supporting the idea of Writing of the billion shillings debt State Owned Sugar Millers in a bid to revive the millers.
It wasn’t clear for how long these debts have been in existence, but the five millers have been performing poorly for the last decade. They have run into debts and are bogged down by old machinery. They have also failed to compete with cheaper imports. The resolution to have a special committee to look into the issues of Mumias came after political leaders questioned the validity of land ownership by the company.
It wasn’t clear for how long these debts have been in existence, but the five millers have been performing poorly for the last decade. They have run into debts and are bogged down by old machinery. They have also failed to compete with cheaper imports.
The resolution to have a special committee to look into the issues of Mumias came after political leaders questioned the validity of land ownership by the company.