President William Ruto has assented to the Privatisation Bill 2023, paving the way for the leasing of five struggling public sugar companies to private investors.
The revival of the sugar millers — Nzoia, South Nyanza (Sony), Chemelil, Mumias, Muhoroni and Miwani Sugar — is long overdue considering their importance to the economy.
In their heyday, they supported the livelihoods of thousands of households in western Kenya. Their troubles or collapse led to the death of towns and cottage industries.
But the leasing process must be transparent and the would-be successful private investors should commit to a speedy turnaround, management and upgrade of the factories.
The decision by the Treasury to waive tax penalties and interest owed by the sugar firms is a welcome incentive for the prospective investors.
The winning bidders will need to reciprocate this gesture by not only reviving the millers but also creating jobs and paying farmers better.
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