Worry For Kenyans as Milk Suppliers Give fresh Warning and Demand to Government

Milk suppliers in Kenya have given the New Kenya Cooperative Creameries (New KCC) management 21 days to pay more than Sh500 million owed to them, warning that they could stop transporting milk if the debt remains unpaid.

The suppliers say the money covers transport services they have provided to the state-owned dairy processor over the past year. They warn that continued delays could force them to suspend operations, potentially worsening milk shortages in shops and supermarkets across the country.

During a meeting to address their concerns, the transporters said they had suffered heavy financial losses because of the unpaid bills. They explained that they had continued transporting milk from various factories to different markets, including supermarkets, despite not receiving payment as agreed.

The suppliers said the situation had become difficult, with some losing their homes and vehicles through auctions after failing to repay loans. Others reported struggling to pay school fees for their children due to the financial pressure.

They accused New KCC management of repeatedly promising to settle the debt without taking meaningful action. According to the transporters, they have received several assurances that payments would be made the following day or the next week, but the money has yet to arrive.

They added that the small payments occasionally released were insufficient to cover even the cost of fuel needed to keep their vehicles running.

The suppliers said their vehicles were now parked because they could no longer afford fuel, repairs and loan repayments. They warned that the situation was also affecting drivers, mechanics, fuel dealers and financial institutions that had financed the vehicles.

The transporters believe their financial difficulties could be contributing to the reduced availability of milk in some shops and supermarkets. With many vehicles no longer operating, the movement of milk from factories to consumers has been disrupted.

They have appealed to the New KCC management to honour the agreements made when they were contracted to provide transport services. They insist that they fulfilled their contractual obligations and deserve to be paid for the work completed.

The suppliers are now calling on the government to intervene and ensure the debt is settled within the 21-day deadline.

SOURCE: https://www.facebook.com/share/v/1HHmCsGFPt/