Kenya, Nairobi: The lower domestic output of sugarcane in Kenya has resulted in increasing import by 28 per cent compared with last year. According to the Sugar Directorate, 46,796 tonnes of sugar was imported in January this year as compared with 36,674 tonnes during the same period in last year.
As per the media reports, the local production declined by 15 per cent due to the poor performance of the sugar mills. The continued closure of Mumias and Kwale sugar factories have created a huge impact on production. The decline in sugarcane production has resulted in mills facing shortage and not running to full to their capacity.
Sugar industry in Kenya is in dip crisis. According to the media reports, the debt of state-run sugar mills has risen to Sh 90.4 billion. Recently, President Uhuru Kenyatta’s office told that as a revival plan of the sugar sector, Kenya will privatise sugar factories and impose an additional tax. According to industry experts, the ailing machinery, poor funding and the high cost of production are the problems which the sugar sector is facing in the country.
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