Kisumu Governor Anyang’ Nyong’o has accused the national government of orchestrating an opaque and unconstitutional leasing process for Chemelil and Muhoroni sugar factories, labelling it an economic betrayal and a land grab that jeopardises the livelihoods of thousands of farmers in Kenya’s sugar belt. In a statement released on Tuesday, Nyong’o criticised the lack of transparency and stakeholder engagement, warning of dire consequences for the region.
The leasing of Chemelil Sugar Factory to Kibos Sugar & Allied Industries Ltd. and Muhoroni Sugar Factory to West Valley Sugar Company has been finalised without adequate consultation with the Kisumu County government, local farmers, or factory workers, according to Nyong’o. Both companies are relatively new to the sugar industry, Kibos, established 16 years ago, and West Valley, just five years old, with leases spanning 30 years. Nyong’o also raised concerns about Miwani Sugar Mills, which he claims is being transferred to Crossley Holdings Ltd., despite ongoing litigation over the property.
Calling the national government’s actions a “criminal act” and “daylight robbery,” Nyong’o cited a 2016 High Court ruling that halted the privatisation of sugar mills following a petition he filed with the late former MP Jakoyo Midiwo. He argues that the current leasing process mirrors that flawed effort but with even less transparency. Further compounding the issue, Nyong’o revealed that new tenders for leasing the mills were issued on February 28, 2025, despite a 2024 High Court injunction halting an international tender for the same purpose. These tenders, he claims, have advanced to near completion without public scrutiny.
A key point of contention is the exclusion of the Kisumu County government from the Leasing Transition Committee (LTC), which oversees critical decisions on asset transfers and workforce transitions. Nyong’o also accused Permanent Secretary Dr. Paul Rono of instructing the National Land Commission to deregister title deeds for Miwani and Muhoroni lands and issue new ones to the leaseholders, bypassing county officials.
“This is not just a transaction, it’s an act of dispossession,” Nyong’o warned, highlighting the risk of inflaming ethnic tensions in border areas like Nandi-Miwani and Kipsigis-Kuguta. He stressed that the leases threaten the livelihoods of over 60,000 farmers and endanger public institutions on the affected land, including schools, churches, mosques, and residential communities.
Nyong’o has demanded an immediate halt to the leasing process until transparent and inclusive consultations are conducted. He also called for a full audit of the leasing agreements and the resolution of pending legal disputes before any further steps are taken.
By the time of publication, the Ministry of Agriculture had not responded to Nyong’o’s allegations. However, Kibos Sugar’s Managing Director, Raju Singh, expressed confusion, stating that the company was unaware of the leasing process and had not received official confirmation of reports circulating on social media. Meanwhile, a Kenya Sugar Board (KSB) source defended the process, asserting that it followed due procedure and dismissing Nyong’o’s claims as baseless. Acting KSB CEO Jude Chesire noted that the Cabinet Secretary for Agriculture would address the matter soon and urged the public to remain calm.