President William Ruto has warned individuals he accuses of frustrating the reconstitution of the Kenya Sugar Board, saying their court battles have left about Sh4 billion in sugar levy collections unavailable for projects intended to benefit farmers. Speaking during the Agriculture and Food Security Presidential Town Hall at Jamhuri Park in Nairobi, Ruto claimed these individuals, whom he had previously removed from the sugar sector, have regrouped and are now attempting to hold the industry hostage through legal challenges.
The President said the money collected through the sugar levy was intended to finance critical interventions, including improving roads in sugar-growing areas, developing and distributing seed cane to farmers, and supporting research into higher-yielding varieties. Ruto stated that the funds could not be deployed because of the dispute surrounding the Kenya Sugar Board. He accused unnamed individuals of pursuing personal interests at the expense of farmers and the wider industry.
The dispute is significant because the board is expected to play a central role in regulating the sugar industry, supporting growers, and overseeing the utilisation of the development levy. Parliament says the board is also mandated to set industry standards, facilitate domestic and international sugar trade, regulate prices, and provide advisory support to farmers. The Sugar Act, 2024, provides for a Sugar Development Levy of up to four per cent on domestic sugar and four per cent of the CIF value of imported sugar.
Ruto's intervention places the stalled board at the centre of his administration's broader push to revive the sugar industry and reduce Kenya's dependence on imported sugar. The President has separately said sugar production has increased from 500,000 tonnes in 2022 to about 850,000 tonnes this year, with a target of one million tonnes next year and net exporter status by 2029. He delivered his strongest warning yet, promising to intervene if the impasse continues.
The confrontation comes as sugar farmers continue to demand a functioning regulatory framework, timely payments, and an end to what they describe as cartels in the sector. Farmers have previously threatened nationwide protests over delays surrounding elections for the board, with some accusing various actors of using court cases to frustrate the process. Court records show that disputes over the implementation of the Sugar Act, 2024, and the election of grower representatives have resulted in interim orders affecting the board's operations.
President Ruto then issued a stern warning, stating that he would take action if the situation persists. He emphasized that growers should have the opportunity to elect their representatives to the board. The President's remarks have brought attention to the prolonged litigation over the constitution and functioning of the board, which has hindered the industry's progress.
The President's push for a revived sugar industry is part of a broader effort to boost agricultural production and reduce Kenya's reliance on imports. With the sugar sector being a critical component of this effort, Ruto's administration is keen on resolving the impasse and ensuring a functioning regulatory framework.
Key points
- President Ruto warns individuals frustrating the reconstitution of the Kenya Sugar Board of taking action.
- The dispute has left about Sh4 billion in sugar levy collections unavailable for projects benefiting farmers.
- The President aims to revive the sugar industry, targeting one million tonnes of production next year and net exporter status by 2029.
