P-KE-AAG-001

Project Details
ID: P-KE-AAG-001 Name: 2ZOIA SUGAR PROJECT Status: Completed Country: Kenya
Sector: Agriculture Approval date: 18-aoû-1977 Task Manager: OMOLUABI Abodunrin Charles, OSAN1
Total cost: 67113519
Currency: UAC
Source(s) of financing
AfDB: 18476797
Cofinanced: 46760286
Government: 1876436
Implementing Agency: MINISTY OF PUBLIC WORKS

Objectives

a) To assist the GOK in increasing domestic production of sugar through the expansion of the Nzoia Sugar Company; and b) to create employment and generate rural economic growth through the support of the Nzoia outgrowers Association.

Description

a) Expansion of the Nzoia Sugar Company to increase the cane crushing capacity of the Sugar plan from 3,000 to 7,000 cane per day. This is equivalent to a mill white sugar production of 185,000 ton/year. b) Sugar cane production This will consist of supporting the establishment of 16,000 ha of cane to be implemented by a farmer association known as Nzoia Outgrowers Company. c) Organisation and Management Consists of supporting a 3 year Technical Assistance Programme as well strengthening the Nzoia Sugar Company Management structure and organisation.

Benefits

The main beneficiaires would be the Kenyan Sugar consumers who would have readily available sugar product on the local market. Other beneficiaries include the cane growers of the Nzoia district and rural workers and then dependent who will benefit from the generation of 2,000 new jobs.

Rational

In pursuit of a self-sufficiency good in sugar production, GOK is supporting expansion of Nzoia Sugar to cater for at least 30% of the country need in sugar. With the recent increase in sugar prices, Nzoia sugar company is expected to improve its financial status. As the project will support the establishment of 16,000 ha of sugar cane, the company will be in a better position to reach its in tended goal of producing approximately 185,000 tons of sugar per year.