Intra-African Trade: assessing the Kenya and Uganda sugar pact and its impact on Western Region Sugar Millers in Kenya

Introduction: Intra-African Trade has been covered in various studies focusing on all African trade blocks. Trade is critical to the success of many sectors of most developed countries. Intra-African Trade in the EAC has been deemed as a positive contributing factor towards enhancing economic benefits between Uganda and Kenya. Currently the settlement of the sugar pact between Kenya and Uganda aims at improving the regionalism of the two countries in East Africa (EAC) but still there are several disadvantages as there are advantages to the western region millers in Kenya. Though there are several issues that arise in different products within any Intra-African trades to explain the same in relation to the Kenya-Uganda Sugar Pact and its impact on Western Region Sugar Millers in Kenya. This brings up the discussion on whether the sugar pact will positively or negatively affects sugarcane farmers in Kenyan region.Objectives: The objectives of the study were to first assess the impact of the Kenya-Uganda Sugar Pact on small holder sugarcane farmers. To secondly identify the impact of the Kenya-Uganda Sugar Pact on socio-economic development. Thirdly to examine the impact of the Kenya-Uganda Sugar Pact on sugar companies. Fourthly to determine interventions and alternatives to address challenges brought about by the Kenya-Uganda Sugar pact in Western Region in Kenya.Study Design: A case study research design.Study Area: Nzoia Sugar Company in Western Region in Kenya.Data Collection Tools and Procedures: Interview guides and questionnaire were used to collect data.Data Analysis: Qualitative and quantitative data were analysed using descriptive statistics included percentage tables. The study findings were interpreted to show the perception of the respondent on issues raised in the questionnaires to answer the research questions.Results: 41 percent of respondents stated smallholder farmers will lack protection to ensure food security and decent earnings from their produce. 53 percent gave the opinion that it will lead to slow growth due to slow rate of pay on time done by sugar cane suppliers. Another 41 percent agreed that the companies will suffer from recovery especially if sugar produced is not excessively sold and thus leading to companies shutting down. Finally, 51 percent were of the opinion that the government needs to regulate the amount of sugar imported to Kenya in the sugar pact between Kenya and Uganda.