
By Daisy Okiring
Stakeholders of South Nyanza Sugar Company (Sony Sugar) are demanding government clarification regarding the fate of the land donated by the local community ahead of the company’s planned lease to private investors.
Speaking on behalf of the stakeholders, Awendo MP Walter Owino questioned whether the government intends to lease both the factory and the land and how the community that contributed the land would benefit if it were included in the leasing process.
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“The nuclear land for the company was donated by the people of Awendo, and therefore, they need to know the fate of the land before the leasing is actualized,” Owino stated.
He emphasized that before finalizing the leasing process, the government must engage all relevant stakeholders to ensure community interests are safeguarded and that the land does not fall into the wrong hands.
Large company
Sony Sugar, one of the country’s largest state-owned sugar companies, has long been a pillar of economic support for thousands of farmers in the region. However, ongoing financial struggles and management inefficiencies have prompted the government to seek private investors to revamp operations. The leasing plan, which aligns with the government’s strategy to privatize struggling state-owned enterprises, has raised concerns among farmers, employees, and local leaders who fear potential exploitation by investors.
Owino also stressed the need for transparency in the lease agreement, urging the government to provide clear information on the terms of engagement with investors.
The call for clarity comes amid wider concerns in the sugar sector, where other state-owned factories, such as Mumias Sugar, have faced challenges following their privatization efforts. Stakeholders insist that any decision regarding Sony Sugar should prioritize the welfare of the local community, which has heavily invested in the company’s success.
As discussions on the leasing process continue, Owino and other leaders have vowed to push for accountability, ensuring that the community’s contributions to the factory are recognized and protected.