By Hope Barbra
The Kenya sugar sector is making a deliberate shift in the industry from traditional sugar milling to a diversified agro-industrial model focused on ethanol production and renewable energy.
Dubbed “Sweetening the Future,” Kenya Sugar Board Chief Executive Officer, Mr Jude Chesire, recently told the Informa Africa Sugar Conference about the new trajectory the country was taking in the sugar industry.
In his keynote speech, Jude said “Sweetening the Future” was a detailed strategic pivot from traditional sugar milling to a diversified agro-industrial model centred on ethanol production and renewable energy.
He said the bio-energy focus aligns perfectly with global ESG (Environmental, Social, and Governance) expectations.
“By prioritising bagasse-based power and climate-smart agricultural practices, the industry is building a climate-resilient system that reduces the carbon footprint of manufacturing,” he said.
Chesire said for the industry to remain competitive, it must rethink its fundamental output.
“By moving ‘beyond sugar,’ the sector is unlocking the full economic potential of the sugarcane crop, transforming what was once considered industrial waste into high-value revenue streams,” he said.
Chesire, CEO of the Kenya Sugar Board (KSB) and Chairman of the International Sugar Organization (ISO), said the sector was scaling up ethanol production by increasing the distillation of molasses – a move designed to meet rising industrial demand while providing sustainable, cleaner fuel alternatives. Complementing this is a push for green energy generation, which leverages bagasse – the fibrous residue remaining after crushing – for large-scale power co-generation.
“This initiative transforms a by-product into a renewable energy source capable of feeding surplus electricity back into the national grid,” he said.
He said the industry was prioritising industrial molasses utilisation, diversifying its applications across emerging bio-based sectors to ensure that every element of the value chain is fully monetised and nothing goes to waste.
“This holistic approach positions the sugar sector as a critical anchor for Kenya’s energy and manufacturing sectors. By diversifying into energy and ethanol, mills can significantly lower their operational costs and buffer themselves against the volatility of global sugar prices,” he said.
Chesire said the innovations were essential for transforming the industry into a “strategic economic pillar” that supports over 8 million livelihoods while contributing to the country’s renewable energy targets.
“To fuel this bio-economy, the KSB is championing an aggressive modernisation drive. This includes closing the ‘yield and efficiency gap’ through superior cane varieties specifically bred for high biomass and sugar content, alongside the mechanisation of field operations,” he said.
He said the integration of GIS mapping and precision agriculture tools will ensure that the raw material required for both sugar and energy production is grown sustainably and efficiently.
“To support this industrial shift, the KSB has reimagined its mandate from a traditional regulator to a ‘strategic sector leader.’ New policy innovations focus on restoring farmer confidence – the ‘foundation of the value chain’ – through fair pricing and transparent agreements, ensuring that growers benefit directly from the high-value ethanol and energy streams,” he said.
Chesire called for a “Partnership for Transformation,” noting that leveraging the African Continental Free Trade Area (AfCFTA) will allow Kenya to export not just sugar, but bio-based industrial products across the continent.
“We are at an inflection point. Kenya is ready to lead Africa’s next chapter by transforming our sugar industry into a diversified, sustainable, and competitive agro-industrial powerhouse,” Chesire concluded.
