

Burundi: Décret 100/85 du 5 mai 2017 portant nomination des Membres du Conseil National de la Communication (05.05.2017)





The prices of Sugar in Kenya is special experiment, as the taxation on imports of sugar is a 100% and also 16% VAT on the sugar imported. Secondly, the industry is controlled by the state, there been talk of privatization of millers owned and the Kenya Sugar Board who regulate the industry. As well as the Ministry of Agriculture is making sure the output of the farmers are corrected.
Therefore, as the prices worldwide is sinking and going-low, the prices of sugar are going up. This is happening in the months right before election time.
The government must know the industry is struggling as the only private miller Mumias are again on a downward spiral: “Already, the miller has been closed for three months. According to managing director Errol Johnson the closure was meant to fix equipment, which had contributed to the company’s poor performance due to inconsistent maintenance. The closure from April 11 came barely a month after the cash-strapped miller received Sh239 million from the government, as part of the bailout strategy” (BiznaKenya, 2017).
That the Mumias miller proving the big-problems in the Sugar industry, as it has been evident for years. The agricultural output and yields haven’t been the issue alone, it is denial of the state to figure out working changes to the millers, the import and also control it has over it. That the government has the oversight and the insight to the issues, are clearly that the Jubilee haven’t been interested in-changing it, as the benefit of this system. Therefore, President Kenyatta and Deputy President Ruto hasn’t touched it or done anything else than bailing out Mumias on the last dive of the company. Therefore, the reports shown here. Proves the initial factors to the grand issues and why the prices are sky-rocketing, while the international prices are falling. Take a look!
Barriers for Sugar Productions:
“Sugar milling is a high fixed cost business requiring substantial economies of scale in cane crushed to break-even” (…) “Existing relationships of patronage between governments and large milling companies serve to align the incentives of government and millers such that new entrants would find it difficult to compete with incumbents and obtain the same benefits” (Chisanga, Gathiaka, Onyancha & Vilakazi, P: 12, 2014).
“Government ownership in the sector remains large, despite higher relative efficiency in the private sector and long term plans for privatization. While some privatization has taken place over the past decade, government-controlled factories held a 37 percent production share, with additional non-controlling shares in other firms. Part of the argument in favor of privatization is the relative efficiency of production in private mills over those controlled by the government” (…) “The local sugar milling market is quite concentrated, and combined with the barriers to trade this suggests that the largest players have significant power over prices. Mumias, the largest sugar company, had a market share of 38 percent of domestically produced sugar in 2011, lower than its typical market share due to cane shortages. Combined with the government-controlled share of the industry, this implies that essentially two entities control at least 75 percent of local production. The shares of local producers in domestic market sales vary quite widely depending on the period, as the volume of imports fluctuates a great deal. For example, Kenya Sugar Board data from the first two quarters of 2012 show importswere approximately 33% of local production” (Argent & Begazo, P: 5-6, 2015).
“Kenya National Bureau of Statistics, a government (Jubilee) body, reports that 2.2 million Micro Small and Medium Enterprises (MSME) have closed shop in kenya over the last five years. These are some of the reasons that inform our opposition to Jubilee. Personally, I think Uhuru and Ruto are fine Kenyans; wonderful husband to their spouses; incredible fathers to their children; and great benefactors to their elite friends, but have terribly failed in the duties of the office of the presidency” (…) “All sectors of Kenyan economy has been negatively affected by the floods of cheap imports, brought into kenya by unscrupulous businessmen connected to those in power, having unbridled freedom to import anything of their choice without paying taxes: From sugar industry; to textile; to agriculture, denying kenya the much needed revenue for development. Over the weekends, the leaders behave like Frank Lucas, donating part of the proceeds from these imports to the same societies they are killing by giving out these import certificates” (Sadat, 2017).
That the government haven’t made sure the industry and financial markets been sufficient is proven with the macro problems in Kenya. The import sanctions together with the stronghold control of certain millers and Kenya Sugar Board, there are patronage and cartels that sets the prices and the payments for the yields. Together with the storage and cane production that is initial to the issues that are there today. That President Kenyatta and DP Ruto hasn’t taken charge and paid amends is the reason for the prices at this point. That the Sugar Barons, Sugar Cartels and Sugar Companies are connected with government is understood as the politicians are taking handouts from them as well.
As the COFEK open letter to Kenyatta said so well and I will end with:
“No one in your government can categorically state how much stocks are being held in the strategic grain reserves. Casual talk of wanting quality of the same maize, from the millers lobby, heightens speculation that your government is unwilling to walk the talk on cutting the cost of living. As things stand, it is fair to say that your Government has taken a holiday on consumer protection as cartels take over the all-important food security sector. It follows that your government, is therefore, in breach of Article 46 of the Constitution you swore to protect. Needless to mention, it is a tall order for you to protect and uphold the sovereignty, integrity and dignity of the people of Kenya if they remain hungry – with a single or no meal at all, thanks to the high cost of living. Your government supposedly offers huge subsidies to farmers through farm inputs like fertilizers which do not get to them. It’s the middlemen and cartels who end up smiling to the bank as farmers toil in vain” (COFEK, 2017).
Peace.
Reference:
Argent, Jonathan & Begazo, Tania – ‘Competition in Kenyan Markets and Its Impact on Income and Poverty – A Case Study on Sugar and Maize’ (January 2015)
BiznaKenya – ‘Mumias Sugar to close indefinitely over cash problems’ (08.05.2017) link:https://biznakenya.com/mumias-sugar-close-indefinitely-cash-problems/
Chisanga, Brian; Gathiaka, John; Nguruse, George; Onyancha, Stellah & Vilakazi, Thando – ‘Competition in the regional sugar sector: the case of Kenya, South Africa, Tanzania and Zambia – Draft paper for presentation at pre-ICN conference, (22 April 2014)
Consumers Federation of Kenya (COFEK) – ‘Cofek open letter to Uhuru Kenyatta on high cost of living’ (02.05.2017) link: http://www.cofek.co.ke/index.php/news-and-media/1718-cofek-open-letter-to-uhuru-kenyatta-on-high-cost-of-living?showall=&start=1
Sadat, Anwar – ‘REVEALED: WHY The ECONOMY is Almost COLLAPSING Under Uhuru Jubilee Regime, GoK’s Kenya Bureau of STATISTICS Exposes Shocking Numbers’ (07.05.2017) link: https://www.kenya-today.com/opinion/revealed-economy-almost-collapsing-uhuru-jubilee-regime-government-body-kenya-bureau-statistics-exposes-shocking-numbers

The Ministry of Energy Come Manirakiza have ordered that the Petroleum at Petroleum Stations are ordered to only sell their Petroleum products between 07.00 AM to 18.00 PM. As part of the order from the Ministry this was ordered: “Distribution of petroleum products is carried out solely at petrol stations and only during the day, ie from 7.00 am to 6.00 pm. Any distribution of these products outside the above mentioned times and places will be severely penalized in accordance with the law, in particular by closing the service station, seizing the product, administering the fine, without prejudice to criminal proceedings” (Ministere de l’Energie et des Mines – N/Ref: 760/CAB/710/2017).
So the state plans to fine the stations that are selling later and not in scheduled time will be fined and penalized. This is measured done because of the fuel crisis, since the state struggles with imports. To prove how volatile the situation is this part of the measure from the Ministry to the Petroleum Stations:
“All distributors of petroleum products are required to distill, without interruption, all the quantity purchased from the importers. For this purpose, they must keep daily records of the distillation indexes of these products informing them, with accuracy on the indexes of departure and closing of the day” (Ministere de l’Energie et des Mines – N/Ref: 760/CAB/710/2017).
There are reports why the Republic under President Pierre Nkurunziza lacks fuel:
“Daniel Mpitabakana, director in charge of petroleum in Burundi’s Ministry of Energy and Mines, attributed the crisis to “a technical problem at the Burundi Revenue Authority.” (…) “Another source said that fuel importers have run short of foreign currency to buy fuel, hence the shortage” (Havyarimana, 2017). So the other source are most like more honest than the Director who doesn’t want the CNDD-FDD to lose face abroad.
But the fuel crisis has been rolling for awhile as the reports goes back into early March, as the world are finally catching on it. Therefore, the reports earlier in March proves how bad it really it is:
““For over two weeks, we have no fuel. I do not know what has happened, “said one“KOBIL” gas station attendant” at Kamenge. The same situation is observed at ‘ENGEN’ gas station in Kamenge, north of Bujumbura. The pump attendant says it has been almost one month they have no fuel” (…) “Only the ENGEN and KOBIL gas stations were not providing fuel but others were supplying fuel to their customers. “We have not had fuel for over two weeks. The ‘KOBIL’ company could not stock up fuel because of the lack of foreign currency,”says the manager of the KOBIL gas station in Musaga, south of Bujumbura” (Manishatse, 2017). So if the East African Report took from this sort of report, the fuel crisis has been running before beginning of February 2017.
Here some other local reports that directly says it all: “OLUCOME, a local corruption watchdog, says mismanagement of the fuel department is the source of the problems. It accuses the director of the department of having shown favouritism and reduced from eight to two (Delta and Interpetrol) the number of companies allowed to import fuel” (Habonimana, 2017). So there are not only the foreign exchange, but also the Director Mpitabakana who has made decisions to cut importers. Therefore, the ones who are left are making it more fragile to get fuel into the republic. Not only just the lacking foreign currency, but also the favoritism of certain importing companies. Peace.


Reference:
Havyarimana, Moses – ‘Fuel shortage adds to Burundi’s woes’ (02.05.2017) link: http://www.theeastafrican.co.ke/business/Fuel-shortage-Burundi-economy/2560-3910928-iuyh07/index.html
Habonimana, Innocent – ‘Cause of fuel shortage: “No one will tell you the truth”’ (02.05.2017) link: http://www.iwacu-burundi.org/englishnews/cause-of-fuel-shortage-no-one-will-tell-you-the-truth/
Manishatse, Lorraine Josiane – ‘Fuel shortage in Bujumbura city’ (07.03.2017) link:http://www.iwacu-burundi.org/englishnews/fuel-shortage-in-bujumbura-city/




Joseph Szlavik and his lobby firm in Washington D.C. are using his close-connected network in the Senate and the House, to trade secrets and interference of knowledge from not so favorable sources. The Scribe Strategies and Advisors are have certainly no scruples in their dealings. As the vast funding from Republic’s and their leadership. Proves that he can bought by anyone who opens their check-book. There is no story he cannot open and abuse, to make sure that his company earns fortunes.
Therefore, be aware that certain connected journalists has been touched by this lobbyist like the Sioban O’Grady, who has had interviews interconnected on several occasions during the last year. As well as Kevin Kelley in Daily Nation, who has been used as tools for the agenda of the Lobbying firm.
Promotes the cause of CNDD-FDD:
This lobbying company has a long history in Burundi, as they have wanted to retain the company as far back on 12 December 2005, when Minister of External Relations and International Cooperation Antoinette Batungbwira wrote a credible praise and wanted to extend their work together.
The government of Burundi, had the funds and the ability to push their agenda in Washington D.C. during the 2015-2016 as their noble lobbyist Joseph Szlavik, signed his earnings to the proper American authorities. On 10th November 2015, the CNDD-FDD paid the lobbyist $ 59,980.00, as he was also paid on the 5th February 2016 $ 60,000.00 and on 25th April 2016 $ 92,230.00. Also, his fees continued as on the 8th August 2016 got $ 90,000.00 and 19th December 2016 the total salary $ 60,000.00.
The lobbyist has during the 2 year period earned astonishing $ 362,000.00!
The CNDD-FDD could afford to pay a man to spread their message and play after their tune in the congress and senate! This shows the power of the monies, as the lobbyist himself explained his position and what he did to earn this amount of money: “Registrant (Scribe Strategies & Advisors) counseled and advised the Government of Burundi on U.S. Policy and informed congressional and executive branch officials and staff and non-governmental organizations (NGOs) on development in Burundi, and promoted relations between the United States and Burundi. Registrant provided public relations support and strategies to the Government of Burundi” (13.04.2017 – NSD/FARA Registration Unit).
“Registrant (Scribe Strategies & Advisors) arranged for Foreign Minister Alain Nyamitwe to speak at the Atlantic Council on June 22, 2015 and on the VOA’s “Straight Talk Africa” on June 23, 2015, and Newsmax TV on June 24, 2015, about recent political developments in Burundi; arranged for presidential spokesman Willy Nyamitwe to speak to the Atlantic Council on January 22, 2016, and on the VOA’s “Straight Talk Africa” on January 20, 2016, and on France24 TV on January 21, 2016, all of the topic of the recent developments in Burundi” (03.03.2016 – NSD/FARA Registration Unit).

Promote the cause of the NRM:
The Government of Uganda and their Foreign Affairs has used the same man to pursuit their agenda in Washington D.C. as they paid the man on the 5th May 2016 $ 62,500.00. In 2015 they also paid him well for the help of spreading the message of Foreign Minster Kuteesa on the 24th June 2015 paid $ 55,200.00, also $ 69,800.00 on 7th August 2015 and on 9th December 2015 $ 64,535.11. The Government of Uganda totally paid the amount $ 250,000.00 to the lobbyist over 2 years!
“Registrant (Scribe Strategies & Advisors) arranged for Foreign Minister Sam Kuteesa to appear on Voice of America program. “Straight Talk Africa” September 16, 2015; the topic was Kutesa’s tenure as President of the United States General Assembly; also arranged for Kutesa to speak at the Atlantic Council on September 15, 2015, on the same topic” (03.03.2016 – NSD/FARA Registration Unit).
That the company uses their reach and their messages as back in day, in 2015, when Scribe Strategies and Advisors, they used Kevin J. Kelley to write a piece in the Daily Nation:
“Mr Szlavik noted that his firm did have a contract about 10 years ago to lobby for Uganda in the US. In accordance with that deal, Mr Szlavik explained, Scribe sought to persuade the Bush administration to list the Lord’s Resistance Army and the Alliance of Democratic Forces as terrorist organisations. The US does designate the LRA and ADF in that way” (…) “Earlier this year, Mr Szlavik added, he discussed with Uganda’s ambassador in Washington the possibility of Scribe again doing lobbying work for Uganda in the United States. But no agreement has been made, Mr Szlavik said. “There’s no contract, no numbers, no payment,” he declared” (Kelley, 2015).
There should be discussion and counsel going on as just a brief month after the interview and article in the Daily Nation, the company earned about $ 60,000 paid by the Ugandan government. So the company knew all about it in 2015, but wanted to spin the news and their role.
The Company was more upfront about their role in spinning the news for Burundi, as the Scribe Lobbying firm in 2015, addressed matters close to the heart of government of Burundi and again, they used their fellow journalist in the Daily Nation:
“The allegations by Joseph Szlavik, head of Scribe Strategies & Advisors, followed reports of fighting between government troops and an unidentified armed group near Burundi’s border with Rwanda” (…) “Mr Szlavik noted in an interview with the Nation that the Burundian leader’s right to run for re-election had been affirmed in May by the country’s Constitutional Court” (…) “Western powers call for respect for the rule of law, and this was the ruling by the Constitutional Court of Burundi,” Mr Szlavik said” (Kelley, 2015).
So Szlavik, the man paid by the Government was clearly knowingly keeping it cool with Burundian authorities, not only spreading their agenda, but also their motives to keep power. Using the tools of legislation and not addressing the grievances of the people demonstrating at the time. Therefore, showing that the ones feeding him was more important than actual justice. That they also, this used the fellow friend in the Daily Nation, show’s how systematic the Scribe Strategies and Advisors work in the East African region.
This is just a quick look into the matter and not really digging deep into the polishing tricks of the company and their employees, as their staff and connections into the House and Senate in the United States was massive. The role to play and their reasoning as the paychecks from CNDD-FDD and NRM comes, they easily comply with the methods and needs from Bujumbura and Kampala. With no care of the implications and ramifications to the innocent in Burundi nor Uganda. Certainly, this is blood-money and I hope they are cursed. Peace.
Reference:
Kelley, Kevin J. – ‘US lobbying firm denies Uganda is currently a client’ (01.04.2015) link:http://www.africareview.com/news/US-lobbying-firm-denies-Uganda-is-currently-a-client/979180-2672786-3ti6at/index.html
Kelley, Kevin J. – ‘Burundi claims Rwanda aiding rebels’ (13.07.2015)





