Sugarcane farmers in Migori County are demanding the immediate release of Kshs 317 million owed by South Nyanza Sugar Company (Sony Sugar), amid mounting pressure over delayed payments and a 30-year factory lease to a private investor. The CEO and Founder of Busia Sugar Industry Ltd, Martine Dima, officially took over the operations of Sony Sugar Company in a handover ceremony held at the factory premises in Awendo, Migori County, last week.
The demand follows a stakeholders’ meeting held last week at the company’s premises to address a notice issued by the growers threatening to suspend cane deliveries. The notice was issued in protest over the company’s failure to settle longstanding arrears.
Representing over 2,000 farmers, the Kenya National Federation of Sugarcane Farmers insists that payment must be made in full before the company is handed over to the investor who recently won the government lease tender. In their notice, the farmers warned of an imminent supply suspension until all dues are cleared.
The meeting brought together federation officials and Sony Sugar management, who met under increasing pressure from farmers over unpaid cane deliveries dating back to November 2024, when the factory underwent a temporary shutdown for maintenance.
“Earlier this week, we had given the management a notice to pay our farmers what they are owed. Failure to which, we plan to rally our farmers to stop supplying the miller immediately,” said Argwings Adongo, the Secretary, Kenya National Federation of Sugarcane Farmers, Sony Branch, addressing the media in Migori town. According to Adongo, the company owes farmers a total of Kshs 317 million. Despite this, he said the management has shown a willingness to start settling the debt. “In our last meeting, the company informed us that they have allocated Kshs 10 million to start the payment process, and they promised that they are sourcing more funds so that payments can continue without delay or interruption.”
John Odondi, the chairperson of the Federation of Sugarcane Growers, Sony branch, told the media that the factory is still in operation and is committed to clearing the arrears in phases. While initial threats pointed to a halt in sugarcane supply, Odondi urged farmers to keep delivering, saying the company had demonstrated goodwill by releasing initial funds.
“We urge our farmers to continue supplying cane to Sony as the company has shown good faith by beginning to release funds,” he opined. “We know this is not the full amount, but it is a starting point. We will continue to follow up until all farmers are paid in full.”
