NO WAY

Farmers in Rift Valley oppose state plan to privatise New KCC, seed firm

They say assets belong to them and cannot be sold; sale of seed company will compromise product quality

In Summary

• Cheruiyot gave the history of how KCC was founded with contributions from farmers leading to purchase of all assets belonging to the company.

• Cheruiyot said although KCC collapsed and was revived with assistance from the government, the money used by the state amounting to Sh570 million was too little compared to the value of the assets.

Farmers during a meeting in Eldoret on December 1, 2023
Farmers during a meeting in Eldoret on December 1, 2023
Image: BY MATHEWS NDANYI

Farmers in Rift Valley have opposed plans by the government to privatise New KCC and Kenya Seed Company.

The farmers say New KCC belongs to them and that sale of the seed company will compromise production of quality seeds.

The farmers spoke at a meeting in Eldoret where they asked President William Ruto to stop the planned privatisation.

They were led by Major Gen (rtd) Augustine Cheruiyot who once served as chairman of KCC.

Cheruiyot gave the history of how KCC was founded with contributions from farmers leading to purchase of all assets belonging to the company.

"All the assets belong to farmers and should simply be reverted to them. We will not allow the privatisation," he said.

Cheruiyot said although KCC collapsed and was revived with assistance from the government, the money used by the state amounting to Sh570 million was too little compared to the value of the assets.

He said value of assets belonging to New KCC cannot be equated to the government investment in reviving the company.

He said by running New KCC for several years the government has recovered any investments it made in the company.

"The assets should simply he reverted to farmers. Please give us back New KCC," Cheruiyot said.

Cheruiyot said the Dandora New KCC plot minus machinery on it was valued at more than Sh4 billion yet the company had assets belonging to farmers all over the country.

He said farmers had bought all the KCC assets including land and property through deductions, which were known as capital levy.

The farmers said they recently petitioned Parliament over return of New KCC to them and they would still do the same.

Cheruiyot was with other farmer’s representatives including Kipkorir Menjo.

Menjo said the move to privatise the Kenya Seed Company might interfere with production of quality seeds.

“As farmers from this region, we are asking the government to stop such plans which will definitely undermine food production,” he said.

The farmers vowed that they would use all means available to block the privatisation of New KCC and the seed firm whose headquarters is in Kitale.

The government announced last week that it would privatise some state firms including New KCC, Kenya Seed Company, Rivatex and KICC among others.

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