Chemelil Sugar Company in Kisumu is set to resume milling operations before the end of January this year.
The acting Managing Director Gabriel Nyangweso said the company will start working again immediately a few issues are sorted out.
“God willing we shall start milling before the end of the month, we have a few issues to sort out then after that we shall begin immediately,” said Nyangweso.
Nyagweso who addressed the media in Kisumu on Monday cleared the air following the allegations doing round that the company has identified one key farmer who will buy sugarcane from the rest of the farmers then sell it to the factory.
He said before the official start of milling operations the company will call cane farmers for a meeting to iron out a few issues before milling operations kick off officially.
“I want to clearly state that reports indicating that Chemelil agrees with one farmer who will supply the factory with sugarcane at the exclusion of other farmers are not true. The company has not signed any deal with any farmer,” he said.
He noted that every farmer will be allowed to supply the sugarcane to the company as usual after the meeting, adding that no one will be favoured in the process.
He further said that currently, Chemelil Sugar Company has a few debts to clear after the national government slapped the company with Sh210 million.
“Currently the debts the national government promised to settle was Sh210 million and out of that in May last year the company received Sh135 million and the remaining Sh74 million the government sent in December 2019,” he added.
Nyangweso also noted that all the cash were directly sent to farmers account, adding that Sh6 million case came about due to bank to bank problems as well as wrong details issued to the banks by affected farmers.
According to Nyangweso, Chemelil Sugar Company is yet to clear arrears realized between January 23 and March 11, 2019, which is about Sh60 million.
He, however, urged the sugarcane growers to support the company when it resumes milling operations.