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Mumias Sugar Company is changing its farmer recruitment policy and starting a dedicated training institution as it seeks to boost efficiency ahead of full liberalisation of the sugar market in 2012.
The Company hopes the independent institution will train its staff and affiliate out growers to boost productivity both at factory and farm level.
The Managing director of Mumias Sugar Company, Evans Kidero, said would also place farmers into economic groupings to encourage direct participation in production ventures, marking a radical shift in the way it recruits outgrowers.
Experts assert that this will boost the chances of increased productivity in that one is able to set performance standards which individual units must meet to stay profitable. It also instills a sense of ownership among growers who view production as an investment.
Currently many millers in the country heavily rely on amorphous out grower system that is barely supervised to ensure conformity with recommended standards of production.
Besides that, an unmonitored out grower arrangement is not good for planning because they are unpredictable when it comes to turning in cane supplies for milling.
"The company is looking at ways to improve efficiency and effectiveness thereby reducing its production costs and producing growth in volumes, revenues and productivity at both the factory and farm level," Mr Kidero said.
Injecting both financial and human capital in the agriculture operations would ensure sustainability and optimum cane supply for both sugar and power production," he said.
The new institution, Mumias Agricultural Operators Training Institute, is mandated to impart skills with focus on key areas of increasing cane quantities and quality, restructuring cane transport and boosting farmer liaison, training and extension services.
Once the training is conducted, the company would make routine follow ups within the set groups to ensure the growers conformed with cane husbandry and production standards.
Dr Evans Kidero, Managing director of Mumias Sugar Company
" The company has put in place a Land Inspection Unit presently under Out growers Development Services (ODS) to ensure quality standards are met in all aspects of land preparation such as depth, fineness and timeliness. The Unit randomly samples out plots to know if they meet the set standards," said Dr Kidero.
In tandem with changes in the management of land, the company is laying emphasis on timely application of fertiliser to the fields and encouraging block fertiliser application as opposed to every individual farmer doing it on their own as a measure to curb fertiliser diversion by some farmers.
Mumias said the application of Urea remains the worst within its belt, thanks to the traditional broadcasting system, resulting into wastage of between 30 and 40 per cent
"Urea will hence forth be applied only when there is sufficient moisture in the soil. Where necessary, farmers will be advised to open furrows just below the cane stalks, apply urea and cover immediately after application," the firm said adding that it was also promoting the use of organic fertilisers.
Dr Kidero said emphasis would also be accorded to quality of cane harvesting, good preparation of stacks all done through improved supervision.
Mumias and other millers in the country are currently locked in a race against time to ensure efficiency because in less than four years they would be facing an all-out competition from other cheaper producing nations under the Common Market for Eastern and Southern Africa (Comesa) bloc.
Kenya today enjoys special import safeguards on duty free sugar entering the local market as a way of spurring growth in the local industry.