Wednesday, April 6, 2005 10:01 AM
BY LUKE KAPCHANGA DN/WEBUYE NZOIA 6/4/2005
The Kenya Anti-corruption committee has been called to investigate the tendering process at the Nzoia sugar company.
Mr Lucas Watta who is the official of the Kenya sugar cane growers association has claimed that the company was losing million of shillings in corrupt deals and those involved need to be prosecuted.
Mr Watta said the management should be probed on how they gave out shs.121million to a company supposed to supply fertilizer without delivering the product.
He claimed that cane yields among out grower farmers had dropped due to lack of fertilizers yet the money was paid out to the supplier.
The official said there is enough evidence showing that the money was paid yet those behind the syndicate are not bothered with the suffering they have inflicted to farmers who depend on the company to get fertilizers.
Cane farmers contracted to Nzoia sugar company have written a protest letter to Agriculture minister Mr Kipruto Kirwa for his failure to intervene and have their problems addressed by the management.
The Kenya national sugarcane growerrs union chairman Mr Joseph Nato Muleme has written to Mr Kirwa asking for his reponse on illegal deductions and overcharges on delivered crop.
The letter dated 23/3/2005 says in part,"We shall be grateful to hear from you as soon as possible because the situation of farmers at Nzoia is getting worse".
Mr Muleme complains that the minister has not respondend to the letter he wrote to him on 17/11/2004 demanding payment of shs.415,878,488. accrued interest for cane delivered from 1999-2003 from Nzoia management.
Then the union official claimed the interest was realised after the government waived the interest rates from sugar development fund(SDF),and also lowered interest on loans from 10%-5% last year.
Mr Muleme accused the management at Nzoia for charging interest on payments to farmers against the directives of the government.
He stated that farmers who benefited from shs.300million released by the government in May to clear the outstanding debt were deducted interest on land preparation, seed cane,harvesting and fertilizers yet this was money from SDF,
The chairman said then that the accrued amount covered the period between 1999-M ay 2003 as the management had flouted the guideline spelled out making farmers to continue suffering.
He accused the management at the factory for denying out grower farmers from getting high yields when the cane is harvested by not supplying them with fertilizers.
He said most of the farmers depend on the fertilizer from the company because poor payment system has made them not to operate independently.
The union chairman accused the management of stealing from farmers by raising transport costs when the distance from the farm to the weighbridge remains the same.
He also claimed that more than 3000 farmers have not benefited from from shs.300million released last year to clear the 1999-2002 arrears.
The Kenya Anti-corruption committee has been called to investigate the tendering process at the Nzoia sugar company.
Mr Lucas Watta who is the official of the Kenya sugar cane growers association has claimed that the company was losing million of shillings in corrupt deals and those involved need to be prosecuted.
Mr Watta said the management should be probed on how they gave out shs.121million to a company supposed to supply fertilizer without delivering the product.
He claimed that cane yields among out grower farmers had dropped due to lack of fertilizers yet the money was paid out to the supplier.
The official said there is enough evidence showing that the money was paid yet those behind the syndicate are not bothered with the suffering they have inflicted to farmers who depend on the company to get fertilizers.
Cane farmers contracted to Nzoia sugar company have written a protest letter to Agriculture minister Mr Kipruto Kirwa for his failure to intervene and have their problems addressed by the management.
The Kenya national sugarcane growerrs union chairman Mr Joseph Nato Muleme has written to Mr Kirwa asking for his reponse on illegal deductions and overcharges on delivered crop.
The letter dated 23/3/2005 says in part,"We shall be grateful to hear from you as soon as possible because the situation of farmers at Nzoia is getting worse".
Mr Muleme complains that the minister has not respondend to the letter he wrote to him on 17/11/2004 demanding payment of shs.415,878,488. accrued interest for cane delivered from 1999-2003 from Nzoia management.
Then the union official claimed the interest was realised after the government waived the interest rates from sugar development fund(SDF),and also lowered interest on loans from 10%-5% last year.
Mr Muleme accused the management at Nzoia for charging interest on payments to farmers against the directives of the government.
He stated that farmers who benefited from shs.300million released by the government in May to clear the outstanding debt were deducted interest on land preparation, seed cane,harvesting and fertilizers yet this was money from SDF,
The chairman said then that the accrued amount covered the period between 1999-M ay 2003 as the management had flouted the guideline spelled out making farmers to continue suffering.
He accused the management at the factory for denying out grower farmers from getting high yields when the cane is harvested by not supplying them with fertilizers.
He said most of the farmers depend on the fertilizer from the company because poor payment system has made them not to operate independently.
The union chairman accused the management of stealing from farmers by raising transport costs when the distance from the farm to the weighbridge remains the same.
He also claimed that more than 3000 farmers have not benefited from from shs.300million released last year to clear the 1999-2002 arrears.
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