Citing a decline in sugar rates in the market, the millers from Basugo region have stated that they have now reduced the sugarcane purchase rates.
The millers are now buying sugarcane at rate Sh104,000, lower from Sh110,00, rate they were earlier buying.
Jim Kabeho, chairperson of Sugarcane Manufacturers’ Association said, “Reduction in the export of sugar has affected the domestic sugar rates which have fallen sharply. As a result, we have decided to reduce the prices of raw materials.”
“Along with this the supply of the Sugarcane has increased which has also resulted in the reduction of the sugarcane purchase price,” he further added.
He said, “We have enough sugar with us and we are communicating with Uganda revenue authority and ministry of finance but the government is not responding.”
Sugarcane farmer from in Jinja District said, “The reduction of cane price has affected us a lot and we are at loss. We have to work hard for 18 months to grow the crop but with a reduction in cane purchase prices we cannot afford to grow it.”
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