Government calls for Nzoia sugar company audit

By Nicholas Nduati

The government is calling for an independent audit of the books of Nzioa Sugar Company to ascertain the manner in which proceeds from the sale of sugar has been used.

Agriculture Cabinet Secretary Willy Bett says mismanagement of the sugar company is not only costing the government millions of shillings but also hurting sugar cane farmers in the area whose payment for cane delivered is often delayed.

A recent report on sugar industry status by Sugar Directorate projects a shortage of 1.9 million tonnes of sugarcane this year, creating a huge production deficit.

Among other factors fueling this is claims of mismanagement in especially state owned milling companies.

Nzoia Sugar Company is currently milling less than 2,000 tonnes of cane daily against the installed capacity of 3,000 tonnes.

Bett has put on notice the management of the miller over mismanagement claims that have seen the miller run into debt.

Stakeholders also called for a thorough audit of the miller’s projects.

Sugar cane farmers have also threatened to stop supplying to the miller due to delayed payments.

The Agriculture Cabinet Secretary challenged sugar cane farmers to take advantage of the fertilizer subsidy program to boost cane production.

  

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