Kinyara Sugar Works Limited

Kinyara Sugar Limited (KSL) formally Kinyara Sugar Works Limited (KSWL), is a sugar manufacturer in Uganda.[2]

Location

The main factories of the company are located in the town of Kinyara in Masindi District in Uganda's Western Region. Kinyara is approximately 17 km, by road, west of Masindi, the nearest large town and the location of the district headquarters.[3] This location is approximately 227 km, by road, north-west of Kampala, the capital and largest city of Uganda.[4] The coordinates of the company factory are 1°38'14.0"N, 31°36'30.0"E (Latitude: 1.637222; Longitude:31.608333).[5]

Overview

History

In 1955, the Omukama of Bunyoro Kitara Kingdom Tito Owinyi was given land by the Bunyoro Native Government. He opened a Jaggery factory in Kinyara, where the current factory is located. Owinyi began production of molasses in 1959, selling it to the Lango, Acholi and West Nile districts. The whole of northern Uganda relied on this product from Kinyara for their alcohol brewing and the sweetening of other products.[7] In the late 1960s, the government of Uganda asked the Omukama of Bunyoro to partner with him and the Kingdom of Bunyoro. He convinced the Orukurato (Parliament) of Bunyoro Kitara Kingdom to allow the government to expand the factory and the plantation. The central government and Bunyoro Kingdom agreed and a memorandum of understanding was signed between the central government and Bunyoro Kitara Kingdom, requiring the central government to pay 30 percent to Bunyoro Kingdom and the Omukama of Bunyoro. This relationship continued until 1966 when the kingdom was abolished, but the factory continued to run.[7] During the political and economic turmoil in Uganda in the 1970s and 1980s, Kinyara was adversely affected and production of sugar ceased. In the 1990s, KSWL was rehabilitated by Booker Tate Limited with aid and loan agreements for various funders underwritten by the Ugandan government. Sugar production resumed in 1995.[7]

Following the resumption and stabilization of sugar production, the government sold 51 percent shareholding in Kinyara Sugar Limited to the then Rai Group (today: Sarrai Group), an agribusiness conglomerate.[8][9]

In September 2011, the Uganda government sold a further 19 percent shareholding in KSL to the Rai Group for US$9.1 million in cash. The sales agreement called for the Rai Group to float this shareholding in an IPO on the Uganda Securities Exchange after five years.[10] Previous agreements called for the sale of the remaining 30 percent shareholding to the following entities: 10 percent to the Omukama of Bunyoro, 10 percent to the KSWL outgrowers, and 10 percent to KSL employees. That process was ongoing as of September 2011.[11]

References

Nicholas Agaba. Museveni Convinces East African Leaders to Buy Uganda's Sugar as Production Increases The Kampala Post, 5 February 2022, retrieved 7 February 2022^

Francis Mugerwa and George Muzoora. Fire Razes 600 Hectares of Kinyara Sugar Canes Daily Monitor, 17 February 2014, retrieved 11 January 2015^

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{{google maps | url=https://www.google.com/maps/dir/Kampala/Kinyara+Sugar+Ltd+Factory,+Fumbya/@1.0179531,30.8573732,8z/data=!3m1!4b1!4m14!4m13!1m5!1m1!1s0x177dbc0f9d74b39b:0x4538903dd96b6fec!2m2!1d32.5825197!2d0.3475964!1m5!1m1!1s0x17652cbdb29d93e7:0x3a55ed47b2ec71da!2m2!1d31.6083421!2d1.6371587!3e0 |title=Road Distance Between Kampala, Uganda And Kinyara Sugar Factory, Uganda |access-date=7 February 2022}}^

{{google maps| url=https://www.google.com/maps/place/1%C2%B038'14.0%22N+31%C2%B036'30.0%22E/@1.6398723,31.6049685,2530m/data=!3m1!1e3!4m5!3m4!1s0x0:0x9b0946bd37c3afec!8m2!3d1.6372222!4d31.6083333 | title=Location of Kinyara Sugar Factory |access-date=7 February 2022}}^

Fred Ojambo. Ugandan Sugar Producers Plan to Invest $197 Million to Expand, Diversify Bloomberg News, 5 April 2011, retrieved 12 January 2015^

Zurah Nakabugo. Uganda: Kinyara's Sweet Success Story Daily Monitor via AllAfrica.com, 17 January 2006, retrieved 12 June 2018^

Stephen Ilungole. 51% of Kinyara for Sale New Vision, November 2002, retrieved 21 November 2002^

Anthony Kitimo. Uganda's Sarrai Group wins Mumias Sugar 20-year lease The EastAfrican, 22 December 2021, retrieved 7 February 2022^

Elias Biryabarema. Uganda govt sells a 19 pct stake in sugar producer Reuters, 29 September 2011, retrieved 12 January 2015^

Sheila Naturinda. Government Sells Stake In Kinyara Sugar Ltd Daily Monitor (Kampala), 29 September 2011, retrieved 12 January 2015^

Brian Musaasizi. Museveni Commissions Country’s First Sugar Refinery Constructed by Kinyara Sugar Red Pepper, 5 February 2022, retrieved 7 February 2022^

Moses Walubiri. MPs considering sh140b energy sector loans New Vision (Kampala), 17 July 2013, retrieved 12 January 2015^

type	Private: Subsidiary of Sarrai Group
foundation	1969
location	Kinyara, Masindi, Uganda
num employees	12,150 (2022)‡R1R‡
industry	Manufacture & Marketing of Sugar
products	Sugar
homepage	Homepage

Kinyara Sugar Works Limited

Location

Overview

History

Production outlook

Industrial sugar

Subsidiaries

See also

External links

References