The Nzoia Sugar Factory is set to resume production on Sunday, August 7, following President Uhuru Kenyatta’s announcement of a Ksh.500 million bailout to offset arrears owed to farmers and workers.
The President, who made the announcement on Tuesday when he visited the factory located in Bungoma County, directed Agriculture Cabinet Secretary Peter Munya to ensure Ksh.450 million owed to farmers is accredited to their bank accounts while Ksh.50 million is paid to the factory workers by Friday this week.
President Kenyatta emphasized that his administration has been working to empower sugarcane farmers but some leaders charged with that responsibility sabotaged the Government’s efforts by crippling the operations of the sugar sector.
He pointed out that despite allocating close to Ksh.1.2 billion to the Nzoia Sugar Factory, the investment amounted to nothing because the funds were not used for the intended purposes.
“Managing Director, Mr. Crispin Omondi, has promised that by Sunday the factory will again start its operations,” President Kenyatta said.
CS Munya said already 900 farmers have received their payment and the remaining farmers will be paid by Friday.
Kanduyi Member of Parliament who is also the chairman of Democratic Action Party Kenya (DAP-K), Wafula Wamunyinyi, said sugarcane farmers are grateful to President Kenyatta for bailing out the sector that is their main source of livelihood.