MASINDI, October 16, 2024 – Members of the Masindi District Sugarcane Outgrowers’ Association Limited [MASGAL] have re-elected their leadership following three years of effective service.
The re-elected leaders include Robert Atugonza as Chairperson, Phenihansi Kyotasobora as Vice-Chairperson, Patrick Byabakama as Secretary, and David Byensi as Treasurer. Additional board members are James Komunjara, Timothy Twesige, Mary Mujumura, Beatrice Byenkya, and Solomon Kahwa.
MASGAL boasts a membership of over 8,000 farmers, supplying more than 70 percent of sugarcane to Kinyara Sugar Limited.
The elections were overseen by Monica Tibemanya, the Commercial Officer for Masindi Municipality, at Kabango Church of Uganda in Kabango Town Council, Masindi district.
She emphasised the importance of adhering to the association’s constitution and urged members to support their leadership financially for effective service delivery.
Tibemanya also encouraged the formation of a Savings and Credit Cooperative Organisation [SACCO] to provide members with affordable loans.
In his address, Robert Atugonza pledged to serve the farmers according to their needs. He noted that the association is currently reviewing the cane production contract [CPC], which has not been amended in a long time and contains provisions unfavorable to farmers. “We agreed to review the CPC. Kinyara presented their views, and we submitted ours,” he stated.
Atugonza highlighted that the price of cane, previously set at Shs 122,500 per tonne for the 2023/2024 financial year, has dropped to Shs 108,000.
He also mentioned that the board secured approval for interest-free funds from Kinyara Sugar Limited to support the establishment of a SACCO. “We need to institutionalize the sugarcane farmers’ SACCO. My hope is that we embrace this SACCO, buy shares, and unite as members because we will only be heard by investors and the government if we stand together,” Atugonza added.
He advised farmers against allowing Kinyara Sugar Limited to harvest their sugarcane at 12 months or younger, as this would lead to lower yields and losses.
David Byensi, the association’s Treasurer, urged cane farmers to support and fund the association, which serves as their collective voice to investors. “We need to help ourselves and practice self-governance. The politicians must also amplify our voices; otherwise, we will remain at the mercy of the investors,” Byensi stated.
The MASGAL members resolved to establish a SACCO with an initial share capital of Shs 400,000 and a membership fee of Shs 30,000.
Fredrick Kyogonza, a MASGAL member, stressed the importance of having politicians involved in the association to address issues effectively. Kanaginagi Ateenyi, a prominent sugarcane farmer, voiced his concerns about the income tax imposed on sugarcane farmers, calling for a review to ensure farmers benefit from their hard work.
Cosmas Byaruhanga, the LCV Chairperson for Masindi, advised sugarcane farmers to treat sugarcane cultivation as a business, emphasizing the importance of record-keeping to track income and expenses. “Let’s embrace the SACCO by becoming members and purchasing shares. We cannot achieve anything without financial resources. With money, we will not be easily manipulated,” he said.
Byaruhanga also warned against individualism, stating that individual contracts with Kinyara Sugar Limited would not benefit farmers. “We need to compel Kinyara Sugar Limited to sign a single contract with the association rather than with individual farmers if we are to be effective as a group,” he urged, while also advising farmers to reserve land for food crops to avoid scarcity.
Kenneth Kiiza Nyendwoha, Member of Parliament for Bujenje County, questioned why sugarcane prices are dropping while sugar prices continue to rise. “We need to arrange a meeting with the president [Museveni] to help him understand the sugar business better. He has been critical of sugarcane growing, yet for us in this area, it is our main source of income,” he said, emphasising the need for unity among sugarcane farmers.
https://thecooperator.news/kikuube-councillors-reject-shs-10000-levy-on-sugarcane-out-growers/
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