Kenyan Sugarcane Farmers Threaten to Halt Supply Over New Price Hike

Kenyan Sugarcane Farmers Threaten to Halt Supply Over New Price Hike
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Sugar production in the country faces a significant challenge as sugarcane farmers threaten to suspend deliveries to mills following the announcement of new price rates.

This comes after the Agricultural and Food Authority (AFA) set the new price for sugarcane at Sh4,950 per ton, effective from August 7, 2024.

A letter from AFA’s Acting Director, Jude Chesire, stated that this decision was made following the expiry of the interim committee’s mandate on sugarcane pricing and the absence of a minister to appoint a new committee at that time.

The new cabinet was sworn in yesterday.

Through their representative, Charles Atyang, the farmers have announced they will stop supplying sugarcane to mills starting August 12 if the new prices are implemented.

Mr. Atyang claimed that farmers were not consulted before the new prices were set.

“This letter must be withdrawn immediately; the pricing committee had agreed to review the prices, and any decisions we get as farmers are not fair,” said Mr. Atyang.

The farmers’ representative expressed frustration that, despite rising production costs, the price of sugarcane has been decreasing.

He argued that the new prices are discouraging farmers who have invested heavily in production with hopes of sustaining their livelihoods.

Mr. Atyang emphasized that given the current production cost of Sh6,500 per ton, farmers should not accept any price below that amount.

 

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