Lake Basin reopens Sh500m rice facility

THE Multi-Million shillings rice mill owned by the Lake Basin Development Authority has now started normal operations following a three months lull that was caused by the post election violence.

LBDA Managing Director Joseph Khaemba says that the Sh.500 million mill started operations two weeks ago.

Khaemba said that they have some 300 bags of rice paddy that will enable the mill to operate for some time as they look for ways and means of getting more paddies.

He said there is a major shortage of rice paddy at the moment in the country. Khaemba who was briefing the press on the status of the Mill which was funded through funding from the African Development says that they will be forced to buy paddy even from Tanzania if need arises.

The MD who was optimistic that things will be all right indicates that they have put in place short team measures aimed at making the mill run normally.

Khaemba says that they will also get some paddy from their own farms such as Bunyala and Sangallo so that the rice mill can operate normally.

He notes that here is a major rice shortage in the country coupled with few supplies of Paddy which they can mill at the facility that has been upgraded.

Khaemba says that they lost millions of shillings in terms of rice lost and property that was vandalized by members of the public during the post poll violence in December.

He says that looters carried away rice and other assorted items belonging to a number of non governmental organizations.

Khaemba says that they lost close to 15 million shillings during the post election violence. He says that they are at the moment looking for a strategic partner for the mill that he says is quite feasible He says that thugs stole rice, maize and office equipments and carried away some computers in addition to damaging some them.

Khaemba however says that the mill itself remained intact and can still operate normally. He also notes that the mill has been operating below its required 20,000 metric tones per year.

The MD notes that the mill crushes only 3000 metric tones per year which he notes is far below its required capacity. Khaemba says that they want to go out of their way to get rice from far flung areas in addition to providing extension services.

He also says that they will increase sugar prices after rebranding their products so that they can meet increasing demands at the production level. The thugs also damaged two Lorries and the perimeter wall of the premises during the chaos.

He says that they will in future have their own nucleus estates in order to meet the paddy shortfall that is being realized at the moment in the country.