Former Prime Minister Raila Odinga has openly backed the government’s plan to lease sugar mills to private investors, setting the stage for a fierce political showdown with his longtime ally, Kisumu Governor Anyang’ Nyong’o.
The dramatic split has shocked many in the Orange Democratic Movement (ODM) as Raila breaks ranks with Nyong’o, who strongly opposes the controversial leasing plan.
At stake is the future of thousands of farmers and workers in western Kenya, who depend on the struggling sugar industry for their livelihoods.
Raila Breaks Ranks to Support Sugar Mills Leasing Plan
On Thursday, Raila Odinga announced his full support for the Kenya Kwanza government’s plan to lease key sugar mills to private investors. Speaking after a meeting with Agriculture Cabinet Secretary Mutahi Kagwe, Raila declared that leasing the sugar companies was the best solution to revive the ailing sugar sector.
“We discussed the strategic leasing of sugar mills to revitalize the sugar industry and secure sustainability for farmers and stakeholders,” Raila said in a statement shared by ODM Communications Strategist Philip Etale. “I support these reforms because they will drive rural economic growth and enhance food security.”
The government plans to lease four major sugar factories: Nzoia, Chemelil, Muhoroni, and Sony Sugar. According to the Ministry of Agriculture, the move aims to attract private investment, improve efficiency, and clear the massive debts crippling the factories.
But Raila’s endorsement has sparked uproar within his own political base. Just a day earlier, Governor Nyong’o condemned the leasing plan, calling it an “economic coup” against the farmers and people of western Kenya. Nyong’o said the process had been rushed and done in secrecy without proper consultation of stakeholders.
Nyong’o Rejects Sugar Mills Leasing as Betrayal
Governor Nyong’o has emerged as a fierce critic of the sugar mill leasing plan. In a strongly worded statement, he accused the government of sidelining local communities and pushing deals that benefit private cartels at the expense of farmers.
“We are dismayed to learn that the planned leasing of Chemelil Sugar Factory and Muhoroni Sugar Factory has been fast-tracked and finalized under a cloak of secrecy,” Nyong’o said. “This is an economic coup against our farmers.”
Nyong’o questioned the capacity of the companies bidding for the leases, saying some of them were newcomers in the sugar industry with questionable motives. He warned that handing over the factories to inexperienced investors would spell disaster for the region’s economy.
The governor also demanded that the government settle pending debts owed to workers and farmers before proceeding with the leasing. Workers at Nzoia Sugar Factory say the company owes them salaries for up to 28 months. Farmers claim the factory has failed to pay them for sugarcane deliveries made years ago.
Meanwhile, the lease of Nzoia Sugar to businessman Jaswant Rai for 30 years has already triggered protests. Both workers and farmers are rejecting the lease, fearing it will lock them out of the benefits and worsen their plight.
“We have been ignored yet we are the backbone of these factories, but no one has involved us,” one worker lamented. “We want our dues settled first.”
Growing Rift Raises Questions for ODM Unity
Previously, Nyong’o and Siaya Governor James Orengo differed on devolution issues until Raila stepped in to mediate. Now, the disagreement over sugar mill leasing exposes deeper cracks within the party’s leadership.
Raila’s stance in support of the government’s privatization agenda has puzzled some of his supporters, especially in sugar-growing regions where resentment against past privatization failures runs deep. Many fear that leasing the sugar mills to private investors will lead to job losses, reduced earnings for farmers, and exploitation.
“Raila is betraying the very people who have stood with him for decades,” a farmer’s representative in Muhoroni said. “We expected him to defend us, not side with those who want to sell off our factories.”
Despite the uproar, Raila remains firm in his position. Sources close to him say he views the leasing as a tough but necessary step to save the industry from total collapse. They argue that government-run factories have failed for decades, leaving farmers poorer and factories deeper in debt.
Meanwhile, Governor Nyong’o has vowed to continue opposing the plan. He is mobilizing other leaders and farmers to resist what he calls an unfair and exploitative deal.
As the battle lines are drawn, the sugar mill leasing debate has not only divided political allies but also reignited questions about transparency, accountability, and the future of Kenya’s sugar industry. For farmers and workers in western Kenya, the stakes have never been higher.
