Jaswant Rai: The sugar man loved and hated in equal measure

In Kenya, Rai has an interest in sugar milling and manufacturing cooking oil, soap and wood.

The business magnate has opened at least four sugar factories in Kenya. They are South Nyanza-based Sukari Industries Limited, West Kenya Sugar Company in Kakamega North, Olepito Sugar Limited in Busia and the most recent Naitiri Sugar Company in Bungoma County.

West Kenya was established in 2006 and Sukari Industries in 2012.

Olepito in Busia County would follow before Naitiri started milling in May 2022. Rai has spread his wings across the sugar sub-sector by opening more factories and establishing cane collection centres (weighbridges) at strategic points in Western and Nyanza.

He also embarked on an aggressive and ambitious cane development initiative in Western and Nyanza. The move was not only meant to scale up the supply of sugar in the country but also guarantee farmers a ready market for their produce.

An earlier report by the Sugar Directorate showed sugar mills owned by Rai control nearly half of the sugar produced locally.

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Data released by the industry regulator showed that Rai's sugar factories controlled up to 43 per cent of the total sugar output in Kenya between early 2021 and around October 2022.

Hundreds of farmers supplying West Kenya believe Rai continues to play a crucial role in their livelihoods by offering a ready market for their produce.

Raphael Welimo, a farmer and retired teacher from Matungu sub-county, described Rai as a key investor in the sugar sub-sector.

"Like any other investor, he (Rai) would want to make his profit and weigh whether the business is worth it or not. So far, he has done a great job. Since Mumias Sugar ran into trouble, West Kenya has been there to help farmers across villages develop sugarcane, and as we speak, Mukhweya and Namamali villages in Matungu have sugarcane," Welimo said.

He added: "If Rai was the evil person as his competitors claim, he would not be extending his tentacles beyond Kakamega North. His enterprise has impacted lives positively."

Rai's earlier bid to lease Mumias sugar company flopped sometime back, and West Kenya has not been at peace after Uganda-based Sarrai Group got the green light to manage the ailing sugar mill.