Nairobi — Two major unions representing sugarcane farmers and workers have endorsed the government's plan to lease out four state-owned sugar factories -- Nzoia, Chemilil, Muhoroni, and Sony -- as part of ongoing efforts to revive the struggling sugar sector.
The Kenya National Federation of Sugarcane Farmers and the Kenya Union of Sugar Plantation and Allied Workers (KUSPAWU) expressed support for the move following a meeting with Agriculture and Livestock Development Cabinet Secretary Sen. Mutahi Kagwe and the leasing committee led by Kenya Sugar Board CEO Jude Chesire.
CS Kagwe reassured the unions that no final decision would be made without input from farmers, workers, governors, MPs, and other key stakeholders.
"We cannot do this arbitrarily. There is leadership in these areas that cannot be ignored. Nobody will be allowed to take over the factories before they are properly vetted," said Kagwe.
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The Cabinet Secretary also affirmed that all pending payments to farmers and workers will be settled before any lease agreements are finalized. This was echoed by Lawrence Kibet, Director General at the National Treasury, who confirmed that funds will be made available to clear arrears.
Farmers' federation secretary general Kilion Osur Anyango said the leasing model had already received support during public participation under the Sugar Taskforce led by former CS Peter Munya and then Kakamega Governor Wycliffe Oparanya.
"Farmers were clear that we don't want privatization. Leasing will give farmers the chance to benefit, just as they do under private millers who pay promptly," said Anyango, urging the Kenya Sugar Board to standardize weighbridges to promote transparency.
KUSPAWU General Secretary Francis Wangara welcomed the government's commitment to protect workers' rights, calling for strict adherence to existing collective bargaining agreements (CBAs) during the transition period.
"No employee should earn less than what they earn now. The one-year job security window is a welcome move," he said.
The unions also called for the establishment of a Sugar Arbitration Committee to handle sector-related disputes, many of which have slowed the leasing process through court actions.
CS Kagwe concluded by confirming that the ministry has finalized new regulations to operationalize the Sugar Act, aimed at stabilizing and reforming the industry.
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