Nzoia Sugar: Lusaka backs leasing of factory

Bungoma Governor Kenneth Lusaka has reiterated his support for the leasing of the cash-strapped Nzoia Sugar Company, terming it the only viable path to making the factory competitive and sustainable.

Speaking during a Sunday service at Namwacha Friends Church in Kanduyi Constituency, Lusaka expressed concern over the dire state of the once-thriving miller, which he said is currently unable to pay farmers and workers.

He cited the high cost of production as a major challenge, revealing that the factory spends up to Sh90,000 to produce a 50-kilogramme bag of sugar that fetches just Sh5,000 in the market.

“What kind of business model is this? We must find a way to turn around that factory,” Lusaka said.

The governor argued that leasing the firm was a well-considered and strategic decision, not a hasty move as alleged by critics.

He emphasized that global trends have shown that governments are not effective at running businesses, hence the need to embrace public-private partnerships.

“The most important thing is for our farmers and workers to be paid on time, not engaging in cheap politics and publicity stunts,” he added.

Lusaka took issue with some leaders who initially supported the proposal to lease state-owned sugar companies but are now opposing it for political mileage.

He singled out former Cabinet Secretary Eugene Wamalwa, accusing him of double standards.

“It is shocking that people who appended their signatures to the taskforce report on sugar sector reforms are now leading the opposition to its implementation,” Lusaka remarked.

Defending himself against accusations of involvement in the controversial sale of the Pan Paper factory, Lusaka clarified that the Webuye-based mill was a privately owned entity that had been placed under receivership due to persistent losses.

He dismissed allegations that some leaders are scheming to sell Nzoia Sugar, urging honesty in the debate and calling on all stakeholders to prioritize the interests of farmers and workers.

Having served in various public service roles, Lusaka asserted that he has no interest in engaging in corrupt dealings, saying his focus remains on building a legacy of integrity and development.

“I have served this country for many years. I wouldn’t tarnish my name with shady deals. I want to leave behind a legacy we can all be proud of,” he concluded.