The Ministry of Agriculture and Livestock Development has announced the payment of overdue wages to workers of four state-owned sugar millers in the country.
In a statement, the ministry said it was set to settle all outstanding dues owed to both farmers and staff.
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According to the Principal Secretary, State Department for Agriculture Dr Kipronoh Ronoh, the decision came after Parliament approved the leasing of the four millers.
” The state Department for Agriculture wishes to inform farmers and staff who work in the sugar Companies that the government concluded Audit of Debts and is now ready to pay the arrears,” part of the statement.
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Consequently, the PS asked farmers and staff of the firms to verify their bank details.
The firms are Nzoia, South Nyanza, Muhoroni and Chemelil Sugar Company Limited.
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Sugarcane Workers payout
“This is to request the farmers and staff to urgently confirm their Bank details with the management of the sugar companies in readiness for disbursement of the verified arrears,” said Dr. Kipronoh.
This will ensure seamless payout of the arrears.
“Further information regarding Miwani Sugar Company will be provided once the ongoing court cases are resolved,” added the PS emphasizes the government’s commitment to addressing these financial matters.
Earlier, the Kenya Federation of Sugarcane Farmers had in July 2023 faulted the government over the suspension of sugar milling to allow the cane to mature.
Cabinet approved the program for the revival and commercialization of State-owned Sugar Companies.
Also Read: Ruto Sets Eyes on Lowering Price of Sugar
Companies Privatization
The government also dropped plans to privatize State-owned sugar firms in the country following sustained opposition from various stakeholders in the sugar-belt region.
“If the proposal by Cabinet receives Parliamentary approval, the State-owned entities would be operated under a lease and operate framework,” the Cabinet dispatch stated.
In April 2023, President William Ruto said that the five sugar factories, together with Mumias Sugar Company, had debts of up to Ksh60 billion, which he said would be written off by his government.
“We have to sort out the issue of sugar because it affects and touches the majority of Kenyans.”