MUMIAS SUGAR’S PROFITS MASSIVE
BY JEFF OTIENO
Kenya’s leading miller, Mumias Sugar Company Ltd, has made a staggering profit of Kshs. 1.6 Billion after taxation. This represents an increase of 33% over the previous years profit, after tax of Kshs. 1.2 Billion.
This was revealed during the Company’s 38th Annual General meeting (AGM, which was held at Tom Mboya Labour College (COTU) Kisumu.
The Managing Director, Dr. Evans Kidero, also revealed that the Company contributed a whopping 3.2 Billiiion to the exchequer for the year runnin, compared to 3.4 Billion last year.
Dr. Kidero further disclosed that the Company successfully commissioned the 38MW Co-generation project in May this year. This, the MD noted has led to an increase in export of power to the national grid from 3MW to 26 MW.
“Through this project, the Company has managed to diversify its product range and expanded its revenue streams”, Dr. Kidero told the well attended AGM.
“This is an initiative of the board and management, in preparing for the expiry of the COMESA safeguard measures in 2012, and the full gains will be realized once the loan from PROPARCO of USD 35 Million is repaid in full”, Dr. Kidero reiterated.
The Company Chairman, John V. Bosse, told the attentive share holders that the board is looking at various projects that are aimed at repositioning the Company in the face of the current market changes.
“I’m optimistic and confident that the implementation of the said projects will give the Company a competitive advantage and a better investment refunds”, Bosse said. He however noted that the operational environment has become more challenging than before.
“Whereas the first half witnessed the Perennial adverse weather challenges, the second half of the year met disruption in cane supply, occasioned by political agitation for higher cane prices”, Bosse concluded.
The Company processed 2,161,031 tonnes of sugar cane compared to 2,408,141 tonnes in 2008. Sugar produced at 231,014 tonnes was 13% lower than the 2008 production of 265,263 tonnes. The performance for the year under review was therefore greatly affected by cane supply and factory performance operational challenges.
END
This management is a fallacy…. Mumias Sugar has done well but not enough to uplift the standards of the host community. This will lead to an Ogoni situation. Farmers are taken for granted, as ignorance is seriously promoted. How is it that the produce leaves the farm gate, without the producer/farmer knowing the weight of the commodity?
The fallacy in this is that the management steward Evans Kidero should represent true change/reform as expected from all youthful and educated Kenyans. Kidero will also be remembered for the attack on 4 Members of Parliaments by hired goons from Kisumu. It is not the wealth that he amasses that will endure his legacy, but true and meaningful reforms. It is unfortunate that the corporate doyen is being associated with bankrolling activities of a political party.
Shame on Kidero!!!!
It is interesting that finally someone has commented on this situation as a fallacy. I cannot wait for the reforms, when we will be able to figure out the people who are stopping the reforms.
Reforms means that each Kenyan has a right to the same rights, and that a few Kenyans, maybe one percent, cannot, because of their ill achieved monies (through people who have no right to take from Kenyans pay a few …have overdone it.).
How rich can one person get ?? And how do you justify your salary and your wealth? Kenya should be able to expose all that are doing wrong, in order to help each Kenyan.No one person is better that the other. What happened to Ruto and his tough stance?
Sickened!!