Kenya Railways Corporation (KRC) has partnered with Nzoia Sugar Company in a deal that will see the sugar miller transport its products from its headquarters in Bungoma to Nairobi and back using the newly refurbished Naivasha-Kisumu meter gauge railway.
KRC Managing Director Phillip Mainga said that the Rail Haulage contract signing was a signal of a good come back for rail operations within the western region.
“We have rehabilitated the line to Nzoia and we are ready to move sugar to other parts of the country,” said Mainga.
Rehabilitation works on the 216 kilometres Naivasha-Kisumu meter gauge railway line is currently underway spearheaded by a multiagency team coordinated by the Kenya Defense Forces. (KDF).
In a bid to cut transport cost and improve efficiency, Nzoia Sugar Company hopes the partnership with Kenya Railways will position the company strategically to conquer the Kenyan sugar market ultimately increase the company’s market share.
Speaking at the signing off Ceremony, KRC Managing Director Phillip Mainga revealed that future plans are in place to expand railing of the product to the Coastal region among other regions, using the MGR and SGR rail networks.
This partnership comes at the back of heavy investment by the Government in the Rail sector countrywide in the last few years.
The Naivasha-Kisumu rail line is is expected to connect to the recently refurbished Kisumu Port to enable ferrying of passengers and goods such as fertilizer, cement, rice, edible oil, and spare parts, among others to Uganda, Rwanda, Burundi and Democratic Republic of Congo on ships via Lake Victoria.