CS Hon Peter Munya visited Nzoia and Mumias Sugar companies to assess the status of the sugar factories for himself.
This was part of the grand tour of Western Kenya by four Cabinet Secretaries to assess the state of all government projects with a view to reviving them.
The CS said that the government has written off all debts owed to the government by sugar factories amounting to over 60 billion – 11 billion for Nzoia Sugar alone.
He explained that this was done to make the factories more attractive to serious investors.
“The government waived Sh62 billion to allow the private investors to come and lease the company and revamp it. The waiver of the Nzoia debt and Sh20 billion for Mumias is to help the factories have a face that can attract investors who can streamline the industry,” he said.
While addressing the reluctance to leasing Nzoia, the CS urged leaders to focus on developing the sugarcane farmers.
The same applies to Mumias Sugar although in its case further negotiations are needed because it is a private company. In Mumias, the audience was hugely in favor of a private investor to take over.
