Kenyan sugar millers have laid out a series of mounting pressures facing the sector — from cheaper imports squeezing local demand to cane poaching and difficulties accessing subsidised fertiliser — in a set of concerns that point to deeper structural problems in the industry.
At South Nyanza Sugar Company (Sony Sugar), Managing Director Jane Pamela said rising imports were weakening demand for locally produced sugar and compressing millers’ prices and margins. She also flagged illegal imports slipping through porous borders, saying cheaper sugar from neighbouring countries was flowing into the domestic market and making it harder for local product to move.
Pamela called for better access to government-subsidised fertiliser, noting that farmers were struggling to obtain the cheaper inputs needed to sustain cane production.
Another persistent headache: the diversion of sugarcane to jaggery producers and competing mills. Sony Sugar has about 8,000 hectares under contracted farmers and currently has enough cane for processing, but Pamela said cane poaching remains an ongoing problem.
A Question of Accountability
Aldai MP Maryanne Keitany raised a related concern — whether stronger mechanisms are needed to ensure farmers who receive inputs and other support from a particular mill do not then divert their cane to rival mills or jaggery producers.
Nzoia Sugar Company weighed in with a call for the full implementation of the Sugar Act and the Sugar Regulations, 2025, arguing that stronger regulation could help curb cane poaching and theft.
Imports: Necessary, But Better Managed
At Butali Sugar, Managing Director Sanjay Patel took a more nuanced position. Imports, he said, are necessary because domestic production cannot meet total demand — but local millers should have a greater say in when imports enter the market, how much is imported, and when stocks are released.
Patel proposed releasing imported sugar in batches rather than allowing large quantities to hit the market at once, saying this would give local producers a more level playing field.
Butali management also pushed for restrictions on sugar repackaging, arguing that allowing only millers to repackage sugar into smaller quantities would provide greater assurance over product hygiene.
