President William Ruto's privatisation plan hit an obstacle after a member of his United Democratic Alliance (UDA) party opposed the move.
Speaking in Mwea, in Kirinyaga County on Saturday, area MP Mary Maingi expressed her displeasure at the government's plan to privatise the Mwea Rice
Mills.
She demanded the local farmers be involved in the process, adding that the government should sell its shares to the locals.
According to Treasury documents, the government owns 55 per cent of the company while local farmers through the Mwea Rice Growers Multipurpose Cooperative Society Ltd own 45 per cent.
"We are saying that Mwea Rice Mills is not going to be sold to any outsiders. If the government intends to sell its 55 per cent, they only have one option and that is to sell the shares to Mwea farmers through Mwea Growers," she demanded.
On the other hand, the local farmers through their representatives maintained that they would oppose the plans noting that they have a say in the operations of the company owing to their shares.
Mwea Rice Mills is one of the 11 companies that was earmarked for the privatisation programme by the National Treasury.
According to the Treasury, the privatisation of the company, incorporated in 1967, would optimise its performance given that it was operating in a competitive environment with other private companies.
"Privatisation of MRM will broaden the base of ownership in the Kenyan economy by encouraging private ownership of entities, particularly among the Farmer Cooperatives," Treasury explained in its privatisation programme.
Also listed for privatisation are the National Oil Corporation of Kenya (NOCK), Kenya Seed Company Limited, Kenya Literature Bureau (KLB), Kenya Pipeline Company, New Kenya Co-operative Creameries and the New Kenya Co-operative Creameries.
The Rivatex East Africa Limited, Western Kenya Rice Mills Ltd and the Kenyatta International Convention Centre (KICC) have also been listed for privatisation.
However, Cooperatives CS Simon Chelugui, on Friday struck New KCC from the list stating that it was the last buyer resort for milk from local farmers.
Meanwhile, the government is set to hold nationwide public participation on December 11 for the privatisation exercise amidst growing criticism.
Of late, Ruto has been facing stiff opposition from Kenya Kwanza MPs who have openly countered his directives. In response to the new wave of revolution, his economic advisor, David Ndii claimed that the MPs were frustrated by Ruto's decision to bar them from accessing tenders unlawfully.
“We have a bewildered lot of tenderpreneur generation MPs who thought Kenya Kwanza win was back to good old skyteam days when they would walk into a ministry, walk out with a project, walk into a parastatal walk out with a tender,” Ruto's economic advisor stated.
