Thursday, October 31, 2024 - The Kenya Sugar Directorate is set to become autonomous after the Senate passed the Sugar Bill 2023, setting it on track to become the Kenya Sugar Board once again.
The legislation, which awaits presidential
assent, would dismantle the Agriculture and Food Authority (AFA) by allowing
several of its founding bodies to regain independence.
The move is seen as a win
for industry stakeholders who have long called for the Sugar Directorate to be
restored as an independent agency with a broader mandate.
If signed into law, the Kenya
Sugar Board, dissolved in 2013 when AFA was created, will regain its authority
to collect the sugar development levy, a key function it managed before its
disbandment.
The board will also lead
research into new cane varieties to boost productivity in the sector.
Under the new structure, the
board's responsibilities will include regulation, development, and promotion of
Kenya's sugar industry while ensuring equitable access to industry benefits for
all participants.
The bill proposes a sugar
development levy on domestic sugar, allocating funds across multiple areas: 30%
for factory development, rehabilitation, research, and training at the Kenya
Sugar Research and Training Institute; 40% for cane development and productivity
improvements; and 15% for infrastructure projects in sugar-producing regions,
based on production levels.
The Kenyan DAILY POST
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