Sh2.8 billion cane factory in Kericho to ease farmer pain

West Valley Sugar factory in Kericho County in this photo taken on June 2, 2023, which is set to open in August this year.

Photo credit: Vitalis Kimutai I Nation Media Group

Sugarcane farmers in Kericho, Nandi and Kisumu counties are set to benefit from the construction of a Sh2.8 billion private processing factory in the region.

The West Valley Sugar Factory is due to open in August and will initially provide a direct market for 6,000 sugar cane farmers in the catchment area.

The state-of-the-art factory has the capacity to process 1,500 tonnes of sugar cane per day, equivalent to 2,500 bags of sugar.

"Construction of the factory is 85 per cent complete and it will process 2,500 tonnes of sugar cane per day. The factory is tentatively scheduled to open in August," said Benard Soi, the company's managing director.

Mr Soi said that once open, the factory is expected to create 1,500 direct and indirect jobs for local people, improving the economy and well-being of the people.

He called on local farmers to support the management of the factory, which will be owned by local investors, to create employment opportunities and markets for fresh farm produce.

Prior to the opening of the factory, the company expects to produce sugar cane from 1,500 nucleus farms in the area, as well as engaging with more than 6,000 small-scale out-growers.

Owned by West Valley Sugar Company, a subsidiary of the Kipchimchim Group of Companies, which also operates the leading retail chain - Kipchimatt Supermarkets - the factory is located in Kapkormon village in the Soin/Sigowet constituency.

Kericho Governor Erick Mutai said the county government will provide subsidies to farmers in the region to boost sugarcane production to benefit from the processor.

"As a county, we are keen to partner with local investors by incentivising farmers to increase production of sugarcane, which thrives in the lower and warmer parts of Kericho," Dr Mutai said.

Dr Mutai said his government was keen to support farmers to diversify their investments to make them profitable and address the issues of health, nutrition and economic growth.

Senate Majority Leader Aaron Cheruiyot, Ainamoi MP Benjamin Langat and his Soin-Sigowet counterpart Justus Kemei said the government was keen to support investors to set up factories in rural areas to boost economic growth.

For decades, sugarcane farmers in Kericho have been supplying their produce to millers in neighbouring Kisumu County, especially the nearby Muhoroni and Chemelil sugar factories, which is expected to end once the new factory opens.

Collapsed

The Soin Sugar factory, which was linked to the late Kipngeno Ngeny, a former water minister in President Daniel Moi's Kanu regime, and was the only processor ever built in the area, collapsed almost a decade ago without ever starting up.

Although Kericho is best known for its signature green tea estates, tea is also grown in the lower zones of Ainamoi, Soin-Sigowet and Kipkelion West constituencies, which have a warmer climate compared to the highlands.

Sugar prices have remained high in the country, with a kilogram selling for an average of Sh200, one of the highest in recent memory, and showing no signs of easing.

Many sugar factories in the country have collapsed due to mismanagement, while sugar imports have steadily increased, benefiting a clique of politically connected and powerful businessmen.

The majority of farmers have stopped growing sugar cane altogether because of the lack of markets and the companies' failure to pay them, and most have since diversified their farming activities.