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The Naitiri Sugar plant owned by the wealthy Rai family of Kenya is set to commence operations before the end of the first quarter of this year, according to a news report by Business Daily.
The newly built sugar plant, which is valued at Ksh5 billion ($44.2 million), will operate as an extension of West Kenya Sugar Company, with a production capacity of 3,000 tonnes of cane per day.
The plant was initially scheduled for completion and commissioning in 2020. However, operations were pushed back due to several factors, including access to foreign exchange and delays in the arrival of major plant components.
Information gathered by Billionaires.Africa revealed that the plant’s operations will be integrated into West Kenya Sugar Company, controlled by the wealthy Rai family.
The development comes nearly one month after entities linked to the sugar plant moved to wind up trials before its launch. The plant’s opening also coincides with the planned reopening of the ailing sugar miller, Mumias Sugar Company, following its leasing to the Uganda-based Sarrai Group.
Analysts believe the new plant’s coming on stream will help to bridge Kenya’s balance of trade and payment deficits, as well as create employment opportunities in the country.
In the past two years, West Kenya Sugar Company has invested more than Ksh1 billion ($7.81 million) in cane development, creating over 200,000 direct and indirect jobs for farmers in nine Kenyan counties.
