Madhvani investment in North good for the people
Jan 22, 2008
Kakira Sugar Works have been given an opportunity to respond to Richard Todwong’s interesting and sensitive article on the issues of the proposed sugar investment in Acholi.
By Richard Orr
Kakira Sugar Works have been given an opportunity to respond to Richard Todwong’s interesting and sensitive article on the issues of the proposed sugar investment in Acholi.
The Madhvani Group has identified a need for more sugar to be produced in Uganda instead of importing sugar from other parts of the world.
Today Uganda is consuming 250,000 tonnes of sugar for a population of 30 million.
Our population is expected to double by 2030. Therefore, even if per capita consumption remains at 8kg per head, Uganda will consume 500,000 tonnes of sugar in 2030.
However, if the economy improves then consumption could grow to as much as 840,000 tonnes of sugar in only 22 years from today.
Realising the need for more sugar and having our hearts in Uganda we felt that we should propose a new development in the North, where there has been so much suffering over the past 20 years as Todwong points out.
The area in Amuru, as our surveys have proved, is an ideal location for growing sugarcane.
The soils, the land, the climate are conducive to good agricultural production including sugarcane growing and therefore manufacturing and distributing sugar to the North.
As far as Todwong’s concern that sugarcane growing impoverishes people one only has to ask the farmers who supply sugarcane to Kakira to find out that this outgrower activity has given them a chance to use their land in a large scale agricultural activity that gives them revenue and income that has improved their lives.
The area around Kakira is very busy and is seeing the benefit of having a market for their produce.
One wonders what these farmers would be doing with their land if there was not a mill at Kakira today.
This year, Kakira Sugar, will purchase over a million tonnes of cane from our outgrower farmers which will realise them revenue of almost sh40b.
This is a growing partnership between miller and grower and has been a success story which began in 1985 when peace returned to the land.
Today, a new opportunity for a fresh success story is now being offered to Amuru by the Madhvanis, who have proven their loyal commitment to Uganda and the capability of developing and managing a sugar project successfully.
What is puzzling is Todwong’s reference to infrastructure facilities and wages provided to our workers at Kakira.
What is provided by the Ugandan sugar industry in general is far superior to those offered by any other agricultural industries and these facilities are being improved upon over time.
There is no question of demanding free land.
What is being proposed is an investment in a neglected area that will provide employment to a good few thousand people in a sugar factory and estate as well as opportunities for thousands of small scale farmers to grow and sell the sugarcane to a new mill.
An investment of this nature runs into many billion shillings, and an investor also wants to see a return on his investment as well as helping the nations economy.
The Madhvani offer is genuine and it is now up to the people of Amuru to decide and become involved in negotiations as to how their land can prosper and how they too can look forward to an exciting development in their neglected land. Every journey begins with a first step.
The writer is the General Manager of Kakira Sugar Works
Kakira Sugar Works have been given an opportunity to respond to Richard Todwong’s interesting and sensitive article on the issues of the proposed sugar investment in Acholi.
The Madhvani Group has identified a need for more sugar to be produced in Uganda instead of importing sugar from other parts of the world.
Today Uganda is consuming 250,000 tonnes of sugar for a population of 30 million.
Our population is expected to double by 2030. Therefore, even if per capita consumption remains at 8kg per head, Uganda will consume 500,000 tonnes of sugar in 2030.
However, if the economy improves then consumption could grow to as much as 840,000 tonnes of sugar in only 22 years from today.
Realising the need for more sugar and having our hearts in Uganda we felt that we should propose a new development in the North, where there has been so much suffering over the past 20 years as Todwong points out.
The area in Amuru, as our surveys have proved, is an ideal location for growing sugarcane.
The soils, the land, the climate are conducive to good agricultural production including sugarcane growing and therefore manufacturing and distributing sugar to the North.
As far as Todwong’s concern that sugarcane growing impoverishes people one only has to ask the farmers who supply sugarcane to Kakira to find out that this outgrower activity has given them a chance to use their land in a large scale agricultural activity that gives them revenue and income that has improved their lives.
The area around Kakira is very busy and is seeing the benefit of having a market for their produce.
One wonders what these farmers would be doing with their land if there was not a mill at Kakira today.
This year, Kakira Sugar, will purchase over a million tonnes of cane from our outgrower farmers which will realise them revenue of almost sh40b.
This is a growing partnership between miller and grower and has been a success story which began in 1985 when peace returned to the land.
Today, a new opportunity for a fresh success story is now being offered to Amuru by the Madhvanis, who have proven their loyal commitment to Uganda and the capability of developing and managing a sugar project successfully.
What is puzzling is Todwong’s reference to infrastructure facilities and wages provided to our workers at Kakira.
What is provided by the Ugandan sugar industry in general is far superior to those offered by any other agricultural industries and these facilities are being improved upon over time.
There is no question of demanding free land.
What is being proposed is an investment in a neglected area that will provide employment to a good few thousand people in a sugar factory and estate as well as opportunities for thousands of small scale farmers to grow and sell the sugarcane to a new mill.
An investment of this nature runs into many billion shillings, and an investor also wants to see a return on his investment as well as helping the nations economy.
The Madhvani offer is genuine and it is now up to the people of Amuru to decide and become involved in negotiations as to how their land can prosper and how they too can look forward to an exciting development in their neglected land. Every journey begins with a first step.
The writer is the General Manager of Kakira Sugar Works