Kisumu Governor Anyang’ Nyong’o has called for an immediate suspension of the ongoing leasing process of sugar factories in Kisumu county, terming it a threat to community livelihoods, land rights and social cohesion in the sugar belt.
In a statement, Nyong’o raised the alarm over what he described as a “rushed and opaque” privatisation of Chemelil and Muhoroni Sugar factories, warning it could plunge the region back into rural poverty, trigger land grabs and stoke ethnic tensions.
He condemned the finalised lease plans that would see Chemelil Sugar Factory handed over to Kibos Sugar & Allied Industries Ltd for 30 years, while Muhoroni Sugar Factory would be leased to West Valley Sugar Company.
Nyong’o questioned the capacity and track record of these firms.
“We are dismayed to learn that the planned leasing of Chemelil and Muhoroni sugar factories has been fast-tracked and finalised without proper stakeholder involvement and under a cloak of secrecy,” the governor said.
He described the move as “daylight robbery” and “an economic coup” against over 60,000 farmers involving 15,000 hectares of farmland, essential public offices, churches, mosques, homes and renowned learning institutions.
"We firmly oppose this opaque lease plan, which ignores the social fabric, existing infrastructure and public interests in sugar belt sub-counties Muhoroni, Kisumu East and Nyando. The plan threatens to dismantle community livelihoods and invites monopolistic exploitation."
The governor expressed concern over the lack of public participation and transparency in the leasing process.
He said the Ministry of Agriculture floated new international tender notices on February 28, 2025, yet neither farmers, workers, nor the county government were involved or consulted.
Nyong’o claimed the process was run through secretive agreements and failing to provide any evidence of value for money violating Article 227 of the Constitution and the Public Procurement and Asset Disposal Act.
He warned that the move could inflame tensions, particularly in border areas such as Nandi-Miwani and Kipsigis-Kuguta.
Nyong'o further pointed out that the Leasing Transition Committee, charged with handling workforce transition and dispute resolution, lacks representation from the county, farmer groups, or workers' unions.
He noted that the 30-year leases without stakeholders' involvement will disenfranchise local farmers, robbing them of land and economic autonomy.
"This is unconstitutional and violates Articles 10, 11, 60, and 62, which guarantee public participation, transparency and land protection."
The governor said agriculture is a devolved function under Schedule 4 of the constitution and any national action excluding county input is unconstitutional and must be resisted.
"Lands used by public factories (Chemelil: 2,779 hectares, Muhoroni: 1,600 hectares, Miwani: 11,000 hectares) are public land, administered by the National Land Commission but held in trust by county governments. Any attempt to review and reallocate the status of the land from its current state to private hands is unconstitutional and an affront to the inalienable right of the communities".
Nyong'o noted that the leasing process, as currently being handled, undermines the constitution, eschews legal and economic rationale, and is socially destructive.
Following this, the governor demanded for an immediate halt to the leasing process until all the legal and constitutional dictates are addressed and aligned.
"In the absence of which, we shall support legal measures to redress this criminality, demanding the suspension of the leasing programmes."
He called for urgent broad stakeholders’ engagement - civil society participation, farmer groups consultations and ensure a transparent, inclusive process aligned with past public memoranda submitted to the Privatisation Commission.
Nyong'o further said the county assembly must lead a people-powered resistance against this attack on devolved authority and local livelihoods.
He urged the residents of Kisumu to stand firm saying they must reject this scheme that ignores the voices of those most affected farmers, workers and communities.
Nyong’o, who previously opposed the privatisation of sugar mills alongside the late MP Jakoyo Midiwo through a successful 2016 court petition, vowed to support fresh legal action if the process continues unchecked.
"This ill-conceived leasing agenda is not just illegal; it is a threat to land rights, community cohesion and the future of the sugar industry in Kisumu."