Humbling snub for lords of sugar

Agriculture minister William Ruto talks farmer Bendeta Khalai on Tuesday. Mr Ruto turned down the offer of free sugar. Photos/JARED NYATAYA

Nzoia Sugar Company managers might have wished that the ground would open up, swallow them and hide them from the shame.

And they probably are yet to recover from the embarrassment a visit by Agriculture minister William Ruto caused them.

Thinking it was a great gesture to offer the minister and other dignitaries freebies, they must have been shocked after the minister ordered all the goodies back to the factory since it was undergoing economic hardship.

“The culture of offering VIPs sugar as gifts must stop from today,” the minister said on Monday, as managing director Francis Oyatsi and chairman Burudi Nabwera listened.

Mr Ruto asked how the management wanted the Government to write off its debt of about Sh19 billion, yet they were giving out sugar.

As farmers — who claim they have not been paid three months after delivering cane — cheered, Mr Ruto ordered the sugar that had been loaded into his car and those of ministers Moses Wetang’ula, Sylvester Wakoli and Alfred Khangati returned as was those loaded into the cars of MPs Eseli Simiyu (Kimilili) and Alfred Sambu (Webuye).

Three 25-kilogramme bags had been packed into Mr Ruto’s official car. Mr Ruto had just learnt that any top government official who visited the factory was given free sugar.

Releasing the bombshell in the dais, he said: “As we are talking now, bags of sugar have been loaded into our vehicles. I order that they be removed immediately.”

Drivers who were on the dais hurried back to their vehicles and off-loaded the sugar, then handed them over to factory managers. The company’s security officers failed in blocking journalists from taking pictures of staff off-loading the sugar.

The firm that has had management problems for more than 10 years is in the habit of giving visitors sugar. It is reported that after any board meeting, members take home 25 kilogrammes of sugar, as well as the sitting allowance.

Before the meeting started, a white two-tonne pick-up arrived with bags of sugar. Two employees had a list of beneficiaries whose bodyguards and drivers helped load the cargo.

Some policemen at the meeting were heard pleading to be considered: “Give us sugar also, because without us, farmers can disrupt the meeting,” the Nation overheard one saying.

The company’s public relations department allocates the “gifts” to dignitaries. The freebies also apply to outspoken farmers who criticise management.

After being accused by farmers of selective harvesting (nicknamed “helicopter harvesting”) delayed pay and frequent factory breakdowns, the top management expected changes either at the board or management, but it came from unexpected quarters.

The chairman of Nzoia Out growers Company (Nocio), Mr Joash Wamang’oli, noted that “hothead” farmers were invited to the company’s guesthouse, where they were entertained and given five kilogrammes of sugar to speak positively about the company.

Last April, he added, the company did not operate for the whole month, and from May to mid-June, the mill operated part time. He asked if the projected target would be achieved, given the frequent factory breakdowns.

Mr Oyatsi had earlier requested the minister to have the Sh19.3 billion debt written off.

He added that the company required more Sh3.5 billion for expansion to a crushing capacity of 7,000 tonnes per day, up from 3,000. The MD said a loan of Sh400 million was being sought to improve machinery.

Mr Oyatsi, who read a memorandum from stakeholders, said the Government should guarantee the company a loan of Sh8 billion for stalled expansion projects.

However, the MD did not tell the minister whether the company was making losses or turning in a profit.