Despite threats from cane millers to close their operations starting Friday, sugarcane farmers have refused to negotiate on cane pricing.
This is in response to a court ruling that directed millers to pay farmers an additional Sh800 per tonne, which was set by the cane pricing committee on April 8, 2024. Farmers insist on receiving the amount as directed by the court.
Charles Atyang’, Chairman of the Kenya Association of Sugar and Allied Products, stated that millers must pay farmers or face closure. He emphasized that sugarcane farmers stand firm on their demands, considering sugarcane as their main source of income.
Richard Ogendo, Secretary General of the Kenya Sugarcane Growers Association, accused millers of attempting economic sabotage through their threats. He urged millers to disclose their production costs to ensure fair pricing, similar to what farmers do.
In response, the Kenya Sugar Manufacturers Association, led by chairman Jayantilal Patel, sent a protest letter dated May 6, 2024, to various authorities. They argued that the court directive on cane pricing violated their rights and disrupted trade fundamentals.
The association highlighted the potential consequences of closure, including job losses, reduced sugar production, and significant revenue loss. They also emphasized the impact on farmers who supply sugarcane to the factories, leading to potential unrest in surrounding communities.
