Kenya: Sugar prices remain high despite increase in production

Nairobi: Sugar prices in domestic markets in Kenya continue to remain high despite the increase in local production and import of commodities to meet the domestic need, reports Business Daily.

The prices of sugar range between Sh250 and Sh260 for a two kg pack as against Sh230 for the same quantity in December. Interestingly, sugar production in the country has increased by 11.7 per cent to 64,849 tonnes in January as against 58,044 tonnes in the same month last year. The country imported 18,000 tonnes of sugar to meet the domestic demand.

The Sugar Directorate in its January report said, “Sugar production has increased by 11.7 per cent in January to 64,839 tonnes as against 58,044 tonnes during the same period last year.”

The prices of sugar continued increasing since November last year after operations in some factories located in western Kenya were disrupted. The plants of Chemelil Sugar Company Limited and Kibos Sugar & Allied Industries broke down in August last year, leading to a huge backlog of cane to be processed and which impacted on total stocks available in the country.