Farmers Lift Ban on Sugarcane Supply to Kinyara Sugar

1603 Views Masindi, Uganda

In short
In March, Kinyara Sugar works Company Limited cut the price of a ton of sugarcane from 141,000 to 82,000 Shillings. However, this did not go on well with the out growers forcing them to suspend sugarcane supply to Kinyara.

Masindi Sugar Cane Growers' association limited has lifted the ban on supplying sugarcane to Kinyara Sugar limited.

In March, Kinyara Sugar Works Company Limited cut the price of a ton of sugarcane from 141,000 to 82,000 Shillings. However, this did not go on well with the out growers forcing them to suspend sugarcane supply to Kinyara.

They said that they cannot accept a cut in the price of sugarcane when the cost of producing sugarcane has shot up. The farmers later resolved to suspend supplying sugarcane to Kinyara Sugar Factory and also advised the company to close shop until the sugar price stabilizes.

During the meeting between the farmers and factory managers on Monday in Masindi town, both sides agreed to 112,000 shillings per ton of sugarcane as the tentative price for the current 2018/2019 financial year.

Cosmas Byaruhanga, the Chairperson   Masindi sugarcane growers' association says after agreeing on the tentative sugar cane price with Kinayara, farmers have now lifted their ban on supplying the factory with sugar cane. 

 //Cue in: "now Kinyara is…
//cue out… usually very low."//.

Byaruhanga says that Kinyara sugar did not want to commit itself on the conclusive price saying they are not sure of the situation of the sugar market in the country.

He explains that the farmers will know the conclusive price in September this year when the two parties will meet again to discuss on the issue.

Byaruhanga reveals that they have several meetings with Kinyara sugar limited to determine the new sugarcane price for the 2018/2019 financial year.

//Cue in: "We have been…
//cue out…supplied to Kinyara."//.

By press time Ramadasan Vekatraman , the Kinyara Sugar General Manager could not be reached for a comment since his known telephone number was off.

 

Tagged with: sugarcane farmers price