Lack of mature sugarcane for crushing by millers has triggered a country-wide shortage of the commodity, leading to the prices skyrocketing.

 The trickle-down effect of the move by the Agriculture and Food Authority (AFA) to sanction the closure of sugar factories for five months has now seen traders limiting the quantity of sugar that shoppers can buy at any ago.

 A spot check by the People Daily yesterday indicated that most supermarkets had increased prices of the essential sweetener with the cheapest going at Sh409 for a two- kilogramme packet while the highest retailing at Sh500.

 All the sugar milling factories in Kenya, were last month forced to temporarily halt its operations due to a shortage of sugarcane.

 The closure was announced by the Agriculture and Food Authority (AFA) at a meeting held in Kisumu on July 13, requesting all millers in Western Kenya to suspend cane harvesting because they had been harvesting pre-mature cane.

 Currently, only factories within the Southern Sugar belt comprising Sony Sugar, Sukari and Transmara are milling sugar.

 Those in the Nyando and Western Sugar belt stopped production mid this month and until September 2023, on the directive of AFA and sugar millers to allow for the cane to regenerate.

Sources within the sector told the People Daily that shortage of cane has sparked a price war pitting government and private-owned manufacturers, contributing to the price increase for consumers.

 “Within the southern sugar belt, farmers are being paid Sh6,000 per tonne by private millers, which is unsustainable. The AFA recommended sugarcane price is Sh5,500 per tonne,” said a source in the sector, who declined to be quoted.

 A spot check by the People Daily in a number of supermarkets and retail outlets indicated that the prices of one quarter, a kilogramme and two kilograms of the commodity had increased by at least Sh20. Through a notice posted on their sugar counters, the Naivas Supermarket, apart from directing each buyer to only buy 4kgs, has increased their prices.

Acute shortage

 Naivas packaged 2kg packet is retailing at Sh 409, Kabras Sh 460 , Nshiwa Sh429 and Natrameal Sh 429 for a 2kg packet at the Naivas supermarkets.

 A source at the giant chain of supermarkets intimated that there is an acute shortage of sugar with suppliers facing difficulties in sourcing for the commodity following the closure of sugar millers.

 The Kenya National Alliance of Sugarcane farmers Association (KNASFA) chairman Saul Busolo warned that the acute shortage could be as a result of hoarding by some unscrupulous dealers to force the government to allow importation of the commodity.

 “There seems to be some foul play in the whole saga because the millers only closed last month, and we are already experiencing the shortage. Some people somewhere are obviously pushing for the importation of cheap sugar,” Busolo claimed.

  In Syokimau, along the Katani road, mini-supermarkets had raised the prices of the commodity across board by Sh20, adjusting the price of a quarter, one and 2 kgs to Sh60, Sh120 and Sh480 respectively.

 Although still producing, Sony, Sukari and Trans Mara Sugar factories are producing below capacity, a factor that may result in further price increments despite the government stepping in to plug the deficit by allowing the importation of 100,000 tonnes of zero-rated sugar to cushion Kenyans from the high prices.

 “The three factories each have a capacity to produce 150,000 tonnes of sugar per year. But they are currently getting three-quarters of those figures because of the shortage,” our source said.

The situation has been compounded by the shortage of sugar in the international markets, with India and Pakistan, big sugar producers responsible for 25 per cent of the global sugar production also experiencing shortages due to poor weather and export restrictions meant to satisfy their domestic demand, factors that have led to an 11 year surge in global sugar prices.

 Data by the Sugar Directorate indicates that Kenya imported 21,887 tonnes of table sugar in May this year to support the weekly optimal stock of sugar which had dropped by 80 per cent on low production by factories and expensive imports on the global market .