Stakeholders of South Nyanza Sugar Company (Sony Sugar) have raised concerns over the fate of company-owned land as the government moves forward with its leasing plan to private investors. Awendo Member of Parliament Walter Owino has called for clarification from the government regarding whether both the factory and the land donated by the local community will be included in the lease.
Owino emphasized that the people of Awendo, who initially donated the land for the establishment of Sony Sugar, deserve to know what will happen to it under the new arrangement. He insisted that the government must address the community’s concerns before finalizing the leasing process.
“The nuclear land for the company was donated by the people of Awendo, and therefore, they need to know the fate of the land before the leasing is actualized,” said Owino.
In addition to land ownership issues, the legislator highlighted concerns regarding job security for current employees of Sony Sugar. He asserted that workers must not be displaced or have their employment terms negatively altered once the investor takes over operations.
“All the workers already employed by the company must not be interfered with by the investor who will take over the operations of the sugar company,” Owino added.
The MP further stated that the investor must outline the new developments they plan to introduce to Sony Sugar. He stressed that leasing the company should result in modernization and improvement rather than just a change of management.
The leasing of Sony Sugar is part of a broader government initiative to revitalize struggling state-owned sugar mills. The process, which began in May 2023 under President William Ruto’s administration, also includes Nzoia Sugar, Muhoroni Sugar, and Chemelil Sugar.
Last month, the High Court dismissed a petition challenging the constitutionality of the leasing process, effectively clearing the way for its implementation. Despite this legal green light, stakeholders continue to seek transparency on key issues such as land ownership, worker welfare, and the long-term impact of the lease on the community.
As the government moves forward with the leasing process, it remains to be seen whether the concerns raised by stakeholders will be adequately addressed to ensure a fair and beneficial transition for all involved