This archive report was first published on 31 October 2019.
Published on October 31, 2019, Chemelil Sugar Company is facing financial challenges that have affected its operations.
The company's Factory Manager, Gabriel Nyangweso, attributes the inefficiencies in production to ageing machinery and lack of maintenance.
He notes that the factory has been serviced only five times in the last 12 years, despite being supposed to be serviced every year.
This has resulted in reduced production capacity and the company's inability to meet its obligations, including paying farmers for cane supply and workers.
Early this year, the government released 1.9 billion shillings to settle outstanding payments to farmers for sugarcane deliveries to public millers.
However, some farmers who supply cane to Chemelil Sugar say they are yet to be paid, sparking concerns about the company's financial management.
The issue of privatization of Chemelil Sugar also emerged during a farmer's meeting in Chemelil.