Uasin Gishu Governor Dr Jonathan Bii, EGH, has reasserted the County Government’s assurance to revitalize the stalled MoiSoy Farmers’ Cooperative Union milling plant, following the signing of a Memorandum of Understanding (MoU) between Agricultural Mechanization Services Ltd. (AMS) and the Union.

The agreement is expected to unlock progress on the long-delayed project and help cereal farmers achieve value addition through local processing.

Launched five years ago, the initiative was designed to empower farmers through collective investment. The County Government of Uasin Gishu disbursed KSh285 million to 57 cooperatives via the County Enterprises Development Fund (CEDF). Each cooperative received KSh5 million at a concessional interest rate of five percent to acquire shares in the milling plant, envisioned as a farmer-owned enterprise, and was initially scheduled for completion within a year.

However, construction stalled at 68 percent, leaving the facility non-operational and without revenue. Loan repayment periods have since lapsed, with 38 cooperatives reaching the end of their five-year term, increasing financial strain on farmers.

Under the new arrangement, the county-owned AMS will operationalize the project through a Special Purpose Vehicle (SPV), a structure intended to preserve farmer participation while protecting their shareholding. Farmers will retain their existing stakes and may acquire additional shares once operations begin.

The County Government is also expected to inject additional funding through AMS to complete the remaining 32 percent of construction. Once operational, the plant is projected to generate revenue to repay the KSh295 million public investment, with surplus earnings directed toward clearing outstanding debts and delivering returns to farmers.

The recovery plan includes restructuring the project under the SPV framework, reviewing the contract with African Grain & Equipment, and conducting a comprehensive technical and financial audit alongside updated Bills of Quantities. Officials are also considering scaling down the project scope to fast-track completion.

Dr Bii said the project aligns with his administration’s development agenda, which prioritizes agriculture and value addition as a key economic driver. He noted that completing the plant would help reduce post-harvest losses, create structured markets, and strengthen farmers’ repayment capacity.

MoiSoy leadership welcomed the move, describing it as decisive action aimed at securing the project’s future.

The signing ceremony was attended by senior county officials, including County Secretary Phillip Melly, County Executive for Cooperatives, Dr. Sam Kottutt, Chief Officers Elphas Kesio (Cooperatives and Enterprise Development) and Abraham Kiptalam (Agriculture and Agribusiness), members of the MoiSoy Secretariat, and officers from AMS.