Mumias Sugar Company have registered an increase in losses for the year ending June 2016, with the main blame being cane shortage. The millers have registered a two percent increase in losses for the year, not forgetting the company’s after-tax loss grew to Kshs. 4.6 billion in 2015. The total revenue increased to Ksh 6.3 billion in 2016 from Ksh 5.5 billion in 2015.
According to the company’s financial report, sugar production increased by 6% to 75,083 tonnes. The production of ethanol increased too, to 12.3 million litres from 10.3 million in 2015.
The company has come under close scrutiny lately, after going through difficult phases amidst cases of mismanagement and shortage of sugarcane. Various measures have been taken to curb this, with the intervention of the government being one supposed remedy, as they injected an estimated Kshs 2 billion to the company. Mumias Sugar also had a tussle with Kenya Power, and they were unable to sell electricity to the firm, coupled with the closure of their water bottling business.