I love my country, love iiiit, love iiiiiiiiiit! There's many things I believe can be done better to improve our status and decrease our annual losses. I'd do anything to save my country provided it's within reason.
Sugar has been the cream of most conversations in Kenya for the past month, and for good reason. 1kg of sugar goes for between Kshs. 200 - 220 ($2.00 - $2.40) up from Kshs.75 in January. Reasons given by millers range from shortage in sugar cane supply to increased pay to farmers. As part of the consumer basket, it has obviously decreased disposable income for most households. Whereas a 2kg pack had a budget of Kshs. 150, we now have to spend between Kshs. 400 - 450 (roughly a 3-fold increase). All this I attribute to lack of accountability. Lemmi explain;
The Kenyan government owns 5 sugar mills of which 4 are producing below half their capacity. These very mills have a debt of Kshs. 50 billion which is yet to be cleared since 2007 when protection for the local industry was given via a COMESA agreement. Of all the mills in Kenya -8 in total if I'm not mistaken- Mumias Sugar Company is the most efficient but still produces way below its capacity. Kenya in total requires about 12 factories with a total labor force of about 40000+ to meet its current sugar demand. We've had close to 5 years to improve our milling technology such that more sugar can be produced from one tonne of sugar cane. This change is yet to be seen, and I'm surprised there's been no media coverage or follow-up on whether the millers have been keeping to the COMESA agreement. 5 years down the line and little to no change has occurred. Our sugar millers also rely heavily on farmers to supply their raw materials. I really don't understand why they can't PRODUCE THEIR OWN sugar cane. It's like how parents will call for you when you're busy just to change the channel or give them the remote...fcuking ridiculous!!!
I won't delve into suitable technologies coz that's just another headache. I'm glad the protection COMESA offered to the sugar industry is coming to an end in March 2012. Our new neighbors, South Sudan, produce sugar in excess and I'm told can currently retail it in Kenya at Kshs.40 - 50 ($0.50 - $0.60) per kg. As usual, a few politicians are already looking to extend the protection offered to Kenya in order to protect the sugar milling industries. Wouldn't it be better though, to import and retail sugar at Kshs. 50/kg and increase our disposable income? God knows I can use that extra Kshs. 300 to improve my lifestyle. South Sudan is also not proficient in milk production. I've seen a couple of STUPID FARMERS pour their milk in protest of purchase prices. Hows about we export milk to South Sudan in exchange for sugar?? I am a Kenyan student and damn patriotic to my country. I WILL to stab the sugar industry if it means the potential for growing my country is higher.
Its just annoying how the government would ignore such an issue. As an agricultural economy(an irony in itsels) id expect even a 30% increase in price of agricultural products to raise alarm and create cause for the issue to be looked into.
ReplyDeleteWell, I guess it all boils down to leadership, or the lack of it for that matter. We have opportunists in the name of leaders who don't care about the fate of the country but their pockets only
Well said. Its time for a change, the only way now is up for the +254.
ReplyDeleteYou does make quite a lot of sense Steve. We need to exploit our bountiful country for the good of the general population instead of the good of a few fat cats.
ReplyDeleteEh ok, i consider myself schooled. good writing.
ReplyDeleteThanks. It's about time our affairs (both internal and external) started being accounted for. I'm definitely looking out for media coverage on this COMESA agreement. Might be covered as far as February next year. Last minute behaviors n' all.
ReplyDeleteIf only they all thought like you!
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