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"id": 252944,
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"speaker_name": "Mr. Muturi",
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"legal_name": "Justin Bedan Njoka Muturi",
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"content": "Mr. Temporary Deputy Speaker, Sir, this is a very noble idea, and like you have just heard from the Mover, Kenya has, for the last five years, had a shortfall of roughly 200,000 metric tonnes of sugar. The COMESA four-year safeguard measures affecting local sugar industry ends in February, 2008. Since the time we were told that we have a shortfall of 200,000 metric tonnes of sugar, we have not seen any improvement, whatsoever, from the Government and yet, it is the majority shareholder in most of the sugar factories in this country. My very good friend, the Minister for Agriculture, has clearly admitted that they have not taken any measures at all to improve the production of sugar in this country. In the last four to five years, our sugar production has not increased to cover the shortfall of 200,000 metric tonnes. Mr. Temporary Deputy Speaker, Sir, the Minister, himself, has confirmed that, year in, year out, we will be licensing the importation of 200,000 metric tonnes of COMESA duty-free sugar. It is clear to everybody that there is connivance or lack of interest to protect and safeguard the livelihoods of over 6 million Kenyans who live on sugar-cane farming. Mr. Temporary Speaker, Sir, when we passed the Sugar Act (2001), part of its thrust was to improve sugar-cane growing in this country. But, notwithstanding the enactment of that law, we have not seen any improvement! Therefore, it is no wonder that, as a first step, Mr. Oparanya calls for the elimination of all the taxes on sugar. They include Cess, Corporation Tax and Value Added Tax (VAT). That can also be used as a safeguard measure to ensure that, come February, 2008, when the COMESA safeguards end, sugar produced in Kenya will be able to compete either on equal terms, or better than the one that is produced within the COMESA region. We must be nationalists! Mr. Temporary Deputy Speaker, Sir, this Government is good at talking. They talk about Poverty Reduction Strategy Paper (PRSP), Economic Recovery Survey (ERS), poverty eradication, April 19, 2006 PARLIAMENTARY DEBATES 531 wealth and employment creation. How can you do all those things when over six million Kenyans are faced with--- If nothing is done by February, 2008, you are actually going to eliminate those people from the economic map of this country. It is unlikely that COMESA countries will always give Kenyans extension of time to prepare themselves. Indeed, within the COMESA safeguard rules, it is recommended that, benefiting countries must also take measures that will improve their local industries, if they hope to benefit from those measures. The point we are raising is this: What has the Government done to ensure that prior to 2008, our local sugar will not be obliterated from the Kenyan market? If we cannot sell locally to our own people and yet we know that we have a shortfall of 200,000 metric tonnes of sugar, to whom else are we going to sell? Mr. Temporary Deputy Speaker, Sir, currently, all we are seeing is a lot of money being collected by the Kenya Sugar Board (KSB), through the Sugar Levy Development Fund. Indeed, Mr. Oparanya has correctly pointed out that it is levied at 7 per cent. We know for a fact that, in the past, a lot of that money was looted. Indeed, the Public Investments Committee (PIC) Reports, past and present, are replete with examples of persons who have looted those funds. Those funds are mainly meant to help in research. The rest is expected to go to the local sugar factories. If, indeed, any research has been undertaken using those funds, where are the results? Why are we not moving from the shortfall of 200,000 metric tonnes of per sugar? I know the Minister means well when he says: \"We are working very hard.\" We have been told that some local traders, who have absolutely no experience in sugar-cane growing, are hoodwinking Kenyans that they are developing a mega sugar-cane project along Tana River, to address that shortage. Those are all stories! Hot air! Those are just merchants. Come February, 2008, the fellows will be gone. We are going to leave our sugar-cane farmer at the mercy of--- In fact, the same merchants will be the same fellows who will be importing sugar from other COMESA countries. Mr. Temporary Deputy Speaker, Sir, this Motion is pleading with the Government, through the Minister, to look squarely into the possibility of what is going to happen to our local sugar-cane growers after the COMESA safeguard measures are removed. Indeed, this Motion is in very good spirit. A while ago, the Minister for Trade and Industry, Dr. Kituyi, while answering a Question asked by Mr. Weya, gave examples of the measures they are taking to encourage local and foreign investors. What this Motion is urging is not different from what Dr. Kituyi was saying. Our local farmers should invest in sugar-cane growing. They should be encouraged. How do we encourage them? You must reduce the taxes levied on various inputs in the sugar industry. Indeed, if we have been talking about writing off debts which were mysteriously acquired by the Kenya Meat Commission (KMC)--- I am sure nobody ever applied for any loans. If we have been talking about writing them off--- We have written off debts in the coffee industry. Where does the Government find difficulties in writing off debts owed by sugar factories, if we are shown debts that were incurred innocently? At some stage, the laws were so badly manipulated to make it impossible for local sugar factories to operate at a profit. As a result, the effect of that was transferred to the farmers. I would really like the Minister to take this point. This Motion is urging, in the same fashion that the Government comes up with Papers--- They always come up with Policy Papers to do that or the other! Please, very quickly, come up with a clear Policy Paper that will address the plight of sugar-cane farmers who, after one and a half years from today, are threatened with extinction. If you think that it is not possible, then prepare sugar-cane farmers to plant alternative crops. They are staring at starvation. They are used to growing sugar-cane. If you do not prepare them for alternative crops and you are unable to remove those taxes--- We are urging the Government to prepare sugar-cane farmers to grow alternative cash crops. We cannot let those Kenyans die because of our own failure to act. 532 PARLIAMENTARY DEBATES April 19, 2006 With those remarks, I beg to second."
}