Government Assures Kenyans of Stable Sugar Prices Despite Production Challenges
The government has assured Kenyans that sugar prices will remain stable despite ongoing challenges affecting local production.
This assurance comes months after the administration of President William Ruto announced, in September 2024, that Kenya would stop importing sugar from outside regional trading blocs in a move aimed at protecting and strengthening local producers.
In a statement released on Thursday, January 22, the Kenya Sugar Board (KSB) confirmed that the country’s sugar supply remains secure, even though production has dropped significantly.
According to the board, Kenya produced about 613,000 metric tonnes of sugar in 2025, which is only around 61 per cent of the national annual demand estimated at 1.2 million metric tonnes.
Data from the Kenya National Bureau of Statistics (KNBS) shows that this represents a sharp decline from the 815,000 metric tonnes produced in 2024.
The drop has been linked to several factors, including prolonged dry weather, major structural reforms in the sugar sector, and deliberate efforts to protect future cane harvests to ensure long-term sustainability.
KSB explained that a large portion of mature sugarcane was harvested in 2024, leaving much of the remaining crop at early growth stages in 2025. As a result, seven sugar factories in the Lower and Upper Western regions were temporarily shut down to allow the cane to mature fully.
This decision was aimed at improving sugar content and ensuring better yields once milling resumes.
The board further noted that the privatisation and rehabilitation of state-owned sugar factories also played a role in reducing output. Four major factories were closed temporarily as part of a leasing process to private investors and underwent extensive renovations costing about Ksh12.5 billion.
These upgrades limited milling capacity for close to nine months but were considered necessary to improve efficiency and long-term productivity.
In addition, unfavourable weather conditions experienced in late 2025 and early 2026 slowed cane growth and further constrained factory operations, putting additional pressure on sugar output during the period.
Despite these challenges, KSB stressed that the situation is temporary. Recovery programmes are already underway, including the rehabilitation of mills and the introduction of early-maturing sugarcane varieties that are expected to improve future harvests and stabilize production levels.
To help address the current supply gap, the government has rolled out a Ksh1.2 billion Sugar Development Levy (SDL). The fund is intended to expand sugarcane farming areas, improve productivity, and ensure farmers receive timely and reliable payments, which is expected to boost confidence in the sector.
KSB Chief Executive Officer Jude Chesire said the sugar industry is undergoing a major rebuild to meet rising domestic demand.
He reassured consumers that despite the difficulties experienced in late 2025 and early 2026, sugar will remain available in the market and prices will stay predictable as reforms continue to take effect.
“The government and industry regulators have put in place strong market stabilisation measures to ensure sugar remains available, prices stay predictable, and consumers are protected from artificial shortages and speculation, even as production recovers and dry conditions persist into early 2026,” Chesire said.
He added that millions of tonnes of sugarcane are already planted across the country with support from millers.
Harvesting and milling activities are expected to pick up significantly from October to November 2026, marking the start of a sustained recovery in domestic sugar production.
Meanwhile, when the import ban was introduced in 2024, the Ministry of Agriculture said the decision was based on improved local production levels.
At the time, the government projected that Kenya would produce more than 800,000 metric tonnes of sugar, reducing the need for imports.
The ban specifically targeted sugar imports from outside the East African Community (EAC) and the Common Market for Eastern and Southern Africa (COMESA) regional blocs.
The government maintains that these measures are part of a broader strategy to protect local farmers, strengthen the sugar industry, and ensure long-term stability in sugar supply and pricing for Kenyan consumers.
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