Mr Henry Obwocha, Privatisation Commission chairman. FILE PHOTO | NMG
Privatisation of government owned millers is in doubt after
farmers and political leaders opposed the sale of three of the five
factories.
Planters in Sony, Nzoia and Chemilil sugar
zones have opposed the sale, demanding they get shares through
respective county governments.
This could be a blow to
the Privatisation Commission, which is rushing to sell the five millers
ahead of conclusion of the Common Market for Eastern and Southern Africa
(Comesa) safeguards in February.
“So far Kisumu County
has agreed to the sale of Miwani but there has been opposition in
Nzoia, Sony and Chemelil,” said Henry Obwocha, the chairman of the
Privatisation Commission.
Mr Obwocha says the commission will now start with Miwani as they try to settle emerging issues of the other factories.
“We
did not want to sell all the factories at the same time as that would
be hectic. We want to do it in bits,” he said in an interview. This
implies the commission will in the meantime only be able to sell highly
indebted factories that are not active in production such as Miwani
(which owes creditors Sh28 billion) and Muhoroni (Sh27 billion) and are
in receivership.
The Commission said last week that it
will re-evaluate the assets of the five millers following calls by
stakeholders for fresh audit.
No comments :
Post a Comment