Harvesting sugar cane.
Harvesting sugar cane. Payments for sugarcane will be done on a weekly basis. [Photo/EABT]

The government through the Ministry of Agriculture has announced new sugarcane prices for farmers, following an outcry.

Announcing the changes, the cabinet secretary for Agriculture Peter Munya directed that the new prices will take effect on Thursday, November 18, 2021.

Farmers will now receive Ksh4,112 per tonne, up from Ksh.3,833 per tonne, with the payments being done on weekly basis.

“Having considered the prevailing ex-factory sugar prices over the past three months (August – October 2021) and the current upward trend in the price of sugar, the committee resolved to base the cane price on the average ex-factory sugar price of Ksh4,770.00 per 50kg bag for October 2021. The Committee, therefore, approved an increase in the price of cane from the current Ksh3,833.00 per tonne to Ksh4,112.00 per tonne, effective November 18th, 2021,” said Munya.

According to Munya, the sugar industry has witnessed a steady increase in sugar production due to enhanced investments by both the government and private sector players.

Cumulatively, sugar production in January – October 2021 was 577,807 tonnes compared to 514,727 tonnes produced in the same period last year, indicating a 12 percent increase. Sugar production increase is due to improved availability of sugar cane in all sugar-growing areas attributed to favourable weather conditions and improved cane prices. The projected sugar production in 2021 is estimated at over 660,000 metric tonnes.

“The Crops (Sugar) (General) Regulations, 2020 specifies the various requirements for contracts/agreements between cane growers and millers, handling, and supply of sugarcane. The regulations provide for a Sugarcane Pricing Committee responsible for developing the cane pricing formula and reviewing cane prices,” added Munya.

The sugarcane price calculated using the simplified formula is largely dependent on the sugar prices as all the other parameters are fixed over a longer timeframe.

The Ministry has further directed the millers to adhere to the new prices while making payments to the farmers.

“Any farmer being paid less should report to the Agriculture and Food Authority for redress,” said Munya.

Read: 2022: CS Munya Stakes Claim to Lead Mt. Kenya, Goes After Old Foes

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1 COMMENT

  1. Only announcing but not paying farmers, since the Cs brought Money in nzoia factory up to date no any farmer have received any single sent.Whom are they helping now ama wanaona 2022 imefka tuwarudishe huko.Wakulima tunaumia

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