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Home Agriculture

Nzoia Sugar Factory handed over to West Kenya Sugar Factory.

Nick Nabangi by Nick Nabangi
May 10, 2025
in Agriculture, Latest News, West FM News
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Image Courtesy: West Media.

Image Courtesy: West Media.

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The 30-year lease deal between government and Nzoia Sugar factory has been actualized with the official hand over to West Kenya Sugar factory done on Saturday 10th May 2025
The agreement valued at Ksh.200 million, is aimed at modernizing the sugar mill, reducing debts and fetching regional markets in the ever competitive marke

Nzoia Sugar Company established in 1975, has been facing setbacks occasioned by debt to farmers and workers, old machinery and mismanagement despite government efforts to clear a 50 billion debt in 2024

The Rai family’s West Kenya Sugar Company that owns Kabras Sugar, Naitiri Sugar and Olepito factories emerged as the successful bidder after government decided to lease Nzoia Sugar Company and this move is expected to bring to life the once beaming source of employment and income to many residents in Bungoma county and beyond

Company operations will hence forth be managed by West Kenya Sugar Company besides all assets and machinery

With the handing over now done, the leasing of Nzoia Sugar Company is expected to revitalize the sugar economy in Bungoma as is expected of regions covered by Chemelil, Muhoroni and Sony that have also been leased to Kibos Sugar, West Valley Sugar and Busia Sugar respectively

Leasing of these sugar factories to private investors is expected to inject fresh capital into the sugar sector, modernize outdated equipment and improve operational efficiency hence help reduce the industry’s reliance on imports, enhance competitiveness in regional markets, and create employment opportunities

What remains to be seen is whether this move will hold the promise for modernizing operations, reducing debts, and enhancing competitiveness with the many challenges that have been witnessed in implementation and stakeholder engagement

Tags: Nzoia Sugar factoryWest Kenya Sugar Factory
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