Squatters occupies the former Kenya Cashew Nuts Factory land; MPs say

Land belonging to the former Kenya Cashew Nuts Factory in Kilifi County is occupied by squatters, the National Assembly Committee on Implementation has been informed.

The committee found out that the squatters have occupied 300 acres out of a total 350 acres. During a site visit to the factory by the committee led by MP Raphael Wanjala they also discovered that the factory’s main machine building no longer has equipment, but is now an empty floor space in what was previously a bustling factory setup.

The Committee was in the County on an inspection visit as a follow up on the implementation status of the petition regarding the restoration and revival of the Kenya Cashew Nuts Factory in Kilifi presented to the National Assembly by MP Owen Yaa Baya on behalf of Kilifi farmers.

ALSO READ:

Women-led Enterprises hailed as transformative, key to unlocking a myriad of opportunities 

The factory, built in 1975, had a processing capacity of 15,000 tonnes of cashew nuts per year and was initially owned by the Kenyan government with 65% shares of the factory, while farmers (through KDCU) owned 35%.

However, the MPs only found empty factory buildings manned by a caretaker, with literally nothing close to an economic activity taking place.

Reports also indicate that the factory was controversially taken over by Kenya Planters and Products Limited (KPPL) and Cashew Development Investment Limited (CDI), depriving the farmers of their rightful ownership.

Further, mismanagement, legal battles, and financial struggles (including a Kshs 95M loan default) set in, leading to the factory’s closure in the year 2000. The factory was then auctioned in 2003 to Millennium Management Ltd for Kshs 58 million, despite a pending court injunction.

Since its collapse, cashew nut farmers have suffered from poverty, lack of market access, and unpaid salaries and this led the Speaker to commit the petition to the Departmental Committee on Agriculture and Livestock for its consideration and response to the Petitioner pursuant to the provisions of Standing Order 227 (1).

In order to solve issues raised the Committee has resolved to exhaustively engage other stakeholders involved in an upcoming meeting to find out the cause of the collapse and takeover of the factory that triggered dwindling fortunes for local cashew nut farmers.

By Obegi Malack

Sharing is caring!