Agriculture Cabinet Secretary Mutahi Kagwe has assured that the planned leasing of Nzoia, Chemilil, Muhoroni, and Sony sugar factories will involve input from farmers and workers.

He also confirmed that their outstanding dues will be paid before the leasing process begins.

In a statement on Wednesday, April 30, Kagwe said the government is committed to ensuring the interests of sugarcane farmers and factory workers are protected during the leasing process.

The move comes amid growing concerns, including threats of legal action by the Kenya Union of Sugarcane Plantation and Allied Workers (KUSPAWU) over unpaid salary arrears.

Union Secretary General Francis Wangara previously warned that the leasing process would not proceed until the government clears Sh4.7 billion in unpaid salaries, a long-standing issue for the workers.

Agriculture CS Mutahi Kagwe says sugarcane farmers and workers’ dues will be paid, and planned leasing of Nzoia, Chemilil, Muhoroni, and Sony sugar companies will involve their input. pic.twitter.com/xCex48MQUG

— The Standard Digital (@StandardKenya) April 30, 2025

The union has also raised concerns over Sh10 million in deductions from workers’ salaries that have yet to be remitted.

Kagwe assured that the government is working to resolve the matter and is keen to prevent further delays.

“We cannot move forward with the leasing until these issues are addressed. We want a fair process that includes input from all stakeholders,” he said.

The planned leasing of the four state-owned sugar mills is part of a broader initiative to revitalise Kenya’s sugar industry.

In March 2024, President William Ruto expressed his commitment to leasing, rather than privatising, the mills.

Ruto stated that the leasing model would attract private investment while protecting local farmers’ interests.

“We must stop importing sugar and other goods. Our legislators must listen carefully, we are going to pump a lot of resources into the cane development programme so that our farmers can grow enough sugarcane for us to produce enough sugar,” Ruto said during the launch of the Kakamega International Investment Conference.

Kagwe also reassured that the Kenya Sugar Board would standardise weighbridges to ensure transparency and fairness in the process.

At the same time, the government has promised to pay all arrears before any of the factories are handed over to new lessees.

The unions and farmers have largely welcomed the leasing move, which they believe will improve the management and sustainability of the sugar factories.

However, they insist that the process must be transparent and fair to ensure the benefits of the farmers and workers are preserved.