Kwale, Kenya: The Government has unveiled an ambitious plan to revive the dormant Kwale International Sugar Company Limited (KISCOL), a move expected to restore thousands of jobs, revive sugarcane farming across the Coast region and inject billions of shillings into the local economy.
Agriculture and Livestock Development Cabinet Secretary Sen. Mutahi Kagwe announced the establishment of a high-level multi-stakeholder revival committee that will oversee the reopening of the factory after years of operational challenges that left farmers without a reliable market and stalled one of Kenya’s largest private sugar investments.
Speaking during an inspection tour of the factory, irrigation dams, plantations and outgrower farms in Kwale County, CS Kagwe said the Government’s priority is to rebuild the livelihoods of thousands of families who depend directly and indirectly on the sugar industry.
“This visit is not about politics. It is about the lives and livelihoods of the people of Kwale. A factory is only important because of the people whose lives it transforms,” he said.
The revival committee, which will be led by the Kenya Sugar Board, will comprise representatives from the National Government, the Kwale County Government, investors, farmers, security agencies and local leaders. The team has been tasked with resolving the legal, operational and social challenges that have kept the mill closed.
According to the Cabinet Secretary, KISCOL remains one of Kenya’s most strategic sugar investments, boasting modern milling infrastructure, an extensive irrigated nucleus estate and a vast outgrower network capable of transforming the economy of the Coast region once operations resume.
At full production capacity, the integrated sugar complex is expected to process thousands of tonnes of sugarcane daily while supporting tens of thousands of direct and indirect jobs across farming, transport, engineering, irrigation services, input supply, retail trade and manufacturing.
Beyond sugar production, the factory has the potential to drive value addition through ethanol production, molasses processing and electricity generation from bagasse, creating new investment opportunities and stimulating industrial growth across Kwale and neighbouring counties.
The Government believes the revival will also help reduce Kenya’s reliance on imported sugar by increasing domestic production and providing a stable market for local cane farmers.
CS Kagwe acknowledged that the challenges facing KISCOL go beyond financing, citing land disputes, inadequate cane supply, vandalism of infrastructure, delayed payments to farmers and insecurity as major obstacles requiring coordinated intervention.
Among the immediate measures announced is the planned settlement of KSh66 million in outstanding payments owed to sugarcane farmers, a move aimed at rebuilding trust and encouraging growers to resume cane production.
The Cabinet Secretary also appealed to residents to safeguard sugarcane farms and irrigation infrastructure, warning that burning cane fields and vandalising pipelines continue to undermine recovery efforts and prolong farmers’ economic hardships.
He further urged the Kwale County Government to expedite the resettlement of approximately 15,000 squatters occupying nearly 7,000 acres of factory land, describing the long-standing land issue as one of the biggest impediments to restoring full-scale operations.
Drawing lessons from the successful leasing and revival of public sugar factories in Western Kenya, Kagwe expressed confidence that strong collaboration between Government, investors and local communities could restore KISCOL into a profitable and sustainable enterprise.
“We have seen what cooperation can achieve in other sugar-growing regions. When Government, investors and communities work together, factories reopen, production increases and farmers begin earning again. Kwale can achieve the same success,” he said.
The Cabinet Secretary said the newly formed committee will develop a comprehensive revival framework that clearly outlines the responsibilities of every stakeholder while ensuring farmers remain at the centre of all decisions.
He emphasized that Government support will be guided by transparency, accountability and a technically sound recovery strategy covering irrigation, cane development, factory operations, financing and long-term sustainability.
If successfully implemented, the revival of KISCOL is expected to become a major economic catalyst for the Coast region by revitalising agriculture, attracting new investments, creating employment opportunities for young people and strengthening Kenya’s journey towards sugar self-sufficiency while accelerating regional economic growth.
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