| Company type | Private Conglomerate |
|---|---|
| Founded | 2000 |
| Headquarters | Kampala, Uganda |
Key people | Sarbjit Singh Rai Group Chairman |
| Products | Sugar, Ethanol, Electricity, Plywood, Cement |
Number of employees | 17,000+ (2022) |
| Website |
The Sarrai Group of Companies, commonly referred to as the Sarrai Group, is a privately owned conglomerate in East Africa and Southern Africa. The group maintains its headquarters in Kampala, Uganda, with subsidiaries in Kenya and Malawi. The group is headed by the executive group chairman, Sarbjit Singh Rai [1]
As of November 2023, the Sarrai Group comprises 11 subsidiary companies as outlined in the table below: [2] [3]
| Rank | Company | Location | Products | Notes |
|---|---|---|---|---|
| 1 | Kinyara Sugar Works | Kinyara, Uganda | Brown Sugar, Industrial Sugar, Electricity | [2] |
| 2 | Hoima Sugar Limited | Hoima District, Uganda | Brown sugar, Industrial ethanol | [2] |
| 3 | Nile Plywoods Limited | Nakasongola District, Uganda | Plywood | [2] |
| 4 | Nile Fiberboards Limited | Uganda | Fiberboard, MDF | [2] |
| 5 | Comply Industries Limited | Nakuru, Kenya | Fiberboard, MDF, Doors | [2] |
| 6 | Raiply Malawi Limited | Chikangawa, Malawi | Fiberboard, MDF, Doors | [2] |
| 7 | Tasco Industries Limited | Uganda | Soap, Cooking oil | [2] |
| 8 | Engaano Millers Limited | Jinja, Uganda | Wheat flour, Bread | [2] |
| 9 | Vitafoam Limited | Uganda | Foam mattresses | [2] |
| 10 | Rai Cement Limited | Kisumu, Kenya | Cement | [2] |
| 11 | Hima Cement Limited | Hima, Uganda | Cement | [3] [4] |
The father of Sarbjit Singh Rai, the current chairman of the group, migrated from his native India and established businesses in Kenya. The father's brother, one Tarlochan Singh Rai, who either came with him or followed him to Kenya, also established his own chain of businesses. After the two brothers died their sons expanded and diversified the businesses, which operate separately. Sarbjit Singh Rai moved to Uganda and started the Sarrai Group. His cousin Jaswant Rai, stayed in Kenya, where he operates three sugar plantations; (a) West Kenya Sugar Limited (b) Sukari Industries Limited and (c) Olepito Sugar Limited. [1]
In November 2023, the Sarrai Group signed binding documentation to buy the 70 percent of Hima Cement Limited that Holcim held in the cement maker, through several subsidiaries including Bamburi Cement of Kenya. The purchase price is reported as US$84 million. The deal requires regulatory approval in Switzerland, Kenya, Uganda and COMESA. [3] [4] [5]
In December 2021, the Sarrai Group controversially [6] won a tender to lease Mumias Sugar Company Limited in neighboring Kenya. However, the announcement of the lease award was successfully challenged in Kenya High Court leading to immediate suspension of the lease on December 29, 2021, by Justice Kenneth Ndung'u of Nairobi High Court. The judge cited a petition by one of the bidders alleging fraud, mistakes and illegalities in the leasing process. [7] [8] [9] [10]
On 29 December 2021, the Kenya High Court in Nairobi, suspended the Mumias lease offer to Sarrai Group after one of the bidders filed a case against a lease award, with Sarrai Group and Mumias Sugar receiver manager named as defendants. The bidder, Tumaz and Tumaz Enterprises, which had placed the highest bid of Kshs. 27.6 billion against Kshs. 11.5 billion for Sarrai Group, alleged fraud, mistakes and illegalities in the bidding process, which was headed by Kenya Commercial Bank (KCB)'s receivership manager P V Rao. Mumias Sugar was placed under receivership in 2018 by KCB, which was one of its creditors. Justice Kenneth Ndung'u of Milimani High Court in Nairobi suspended the lease award and ordered KCB's receiver manager and Sarrai Group not to interfere with Mumias Sugar until the case was heard and determined. [7] [8] [9] [10]
In January 2022, other bidders including West Kenya Sugar Company were enjoined in new cases filed against Sarrai Group and P V Rao. A group of Mumias Sugar farmers filed another lawsuit challenging the lease award. They protested that KCB's receiver manager had erred in awarding the lease to the lowest bidder. West Kenya Sugar company told the court that it was the highest bidder, and yet the lease was awarded at a cost of Kshs. 5.8 billion to Sarrai Group. They contested that Sarrai Group was the lowest bidder out of 8 bidders who had submitted their bids. The Nairobi High Court judge Okwany issued a second lease suspension until March 14, 2022, when the case would be heard and determined. The farmers had sued Sarrai Group, P V Rao, the Attorney General, Competition Authority, Kakamega County government among others. In its reply to the suit, the Competition Authority of Kenya told the court that the lease award was fraudulent, because the KCB receiver manager and Sarrai Group failed to get its approval before taking over the lease. They said it was a criminal act as per the Competition Act of the 2010 Kenyan Constitution. [11] [12] [13] [14] [15]
In early February, 2022 another round of lawsuits were filed by creditors including the law firm of Kimeto, which is owed Kshs. 76 million. The law firm claimed that the leasing process was fraudulent because KCB's receiver manager had filed documents in court showing that KCB collected over Kshs. 1.5 billion from running Mumias Sugar since 2018. They argued that KCB's Mumias Sugar debt of Kshs. 570 million should already have been credited from the collections which were 3 times the debt KCB was owed. They wanted KCB receiver manager to be fired by the court and a new tender process to be announced and administered by the court. They argued that the previous tendering process had virtually collapsed after a barrage of lawsuits were filed, and effectively stopped the operations of Mumias Sugar. [16]
In February 2022, 500 former employees of Mumias Sugar who occupied the company's houses claimed that they were served with eviction orders by Sarrai Group, despite court orders stopping the eviction without their salary compensation. Sarrai Group's eviction notices were in violation of court orders. [17] These evictions echo of another controversy involving a Sarrai Group subsidiary in neighboring Uganda, in which Sarrai Group brutally evicted 5,000 people from their ancestral lands, prompting a Commission of Inquiry. [18]
On April 14, 2022, the lease award was legally canceled by Justice Mabeya for failure to consider other creditors, for failure to consult the Competition Authority of Kenya, for failure to explain how Mumias would repay its creditors, and for failure to conduct a feasibility study. The Judge further demanded that the administrator step aside and give unrestricted access of Mumias to the newly appointed administrator, Mr. Kereto Marima. The new administrator is to “start the lease process afresh, in consultation with all the secured and unsecured creditors.” [19]
On 29 December 2023 the Burundian head of state said he had visited the Sarrai Group in Uganda, which he described as a very efficient company. He had invited them to become partners with SOSUMO, the local sugar company, and claimed that production would rise to 300,000 tons per year after three years of production, with a workforce of 12,000. Burundi would supply the sugar cane plantations and the Sarrai Group would supply the other capital. This announcement came at a time when the sugar cane plantations were flooded and could not be accessed by cane transport vehicles. [20] On 4 April 2024 the Managing Director of SOSUMO told workers that the date of 18 April for the start of the Sarrai Group partnership given by the Ministry of Commerce was incorrect, since they were still at the stage of assessing the assets of SOSUMO and negotiating terms of partnership. [21]
KCB Bank Kenya Limited is a financial services provider headquartered in Nairobi, Kenya. It is licensed as a commercial bank, by the Central Bank of Kenya, the national banking regulator. The bank has also been running Agency banking model.
The Uganda Securities Exchange (USE) is the principal stock exchange of Uganda. It was founded in June 1997. The USE is operated under the jurisdiction of Uganda's Capital Markets Authority, which in turn reports to the Bank of Uganda, Uganda's central bank.
Corruption in the government of Kenya has a history which spans the era of the founding president Jomo Kenyatta, to Daniel arap Moi's KANU, Mwai Kibaki's PNU governments. President Uhuru Kenyatta's Jubilee Party government, and the current William Ruto's Kenya Kwanza administration has also been riddled with massive cases of graft, topping in the list of corrupt presitents in Africa
Mumias Sugar Company Limited is a sugar manufacturing company in Kenya, the largest economy in the East African Community. It is the largest sugar manufacturer in Kenya, producing about 250,000 metric tonnes (42%) of the estimated 600,000 metric tonnes annual national output.
Burning of renewable resources provides approximately 90 percent of the energy in Uganda, though the government is attempting to become energy self-sufficient. While much of the hydroelectric potential of the country is untapped, the government decision to expedite the creation of domestic petroleum capacity coupled with the discovery of large petroleum reserves holds the promise of a significant change in Uganda's status as an energy-importing country.
I&M Bank Uganda, formerly Orient Bank, whose complete name is I&M Bank (Uganda) Limited, is a commercial bank in Uganda which is licensed by the Bank of Uganda (BOU), the central bank and national banking regulator.
Equity Bank Uganda Limited (EBUL), is a commercial bank in Uganda. It is licensed by the Bank of Uganda, the central bank and national banking regulator. EBUL is a subsidiary of Equity Group Holdings Limited, a financial service conglomerate with headquarters in Kenya and subsidiaries in six countries of the African Great Lakes Region.
KCB Group Limited, also known as the KCB Group, is a financial services holding company based in the African Great Lakes region. The Group's headquarters are in Nairobi, Kenya, with its subsidiaries being KCB Bank Kenya Limited, KCB Bank Burundi Limited, KCB Bank Rwanda Limited, KCB Bank South Sudan Limited, KCB Bank Tanzania Limited, KCB TMB Congo and KCB Bank Uganda Limited.
The Mehta Group of Companies, commonly referred to as the Mehta Group, is an Indian conglomerate based in Mumbai and headquartered in Gandhinagar, with subsidiaries in the United States, Canada, Kenya and Uganda. The group employs in excess of 15,000 people worldwide, and has an asset base in excess of US$350 million, as of April 2010. The group's businesses include investments in sugar, cement, packaging, floriculture, engineering, electrical cable, consulting, management, insurance, International Trade and International Finance.
The Mukwano Group of Companies, commonly known as the Mukwano Group, is a conglomerate based in Uganda, with operations in other East African countries.
Uganda Telecommunications Corporation Limited (UTCL), also (UTel), is an information and communication technology network company in Uganda owned by the government of Uganda. UTel acquired the assets and some of the liabilities of the defunct Uganda Telecom Limited (UTL) which was also owned by the Ugandan government. UTL was previously in receivership which it entered after the Libyan company that owned about 69 percent shares abandoned the investment in 2017.
The Bamburi Super Series was an East African Rugby union competition with eight teams in total, five teams from Kenya two from Uganda and one from Tanzania (Twigas) that is currently defunct. It is closely based on the Super Rugby competition in the southern hemisphere. Games take place at the RFUEA Ground in Nairobi (Kenya), Friedkin Recreation Centre in Arusha (Tanzania) and the Kyadondo Grounds, Kampala (Uganda). Rhinos have won the most titles with four wins, and are the only team to have defended a title when they beat the Cheetahs 25–5 in the 2010 final.
Tororo Cement Limited (TCL), a Ugandan company, is one of the largest manufacturers of construction materials in East Africa.
Hima Cement Limited (HCL) is a cement manufacturer in Uganda. It is a subsidiary of the Sarrai Group, a diversified manufacturing conglomerate headquartered in Uganda with subsidiaries in Uganda, Kenya and Malawi.
Kinyara Sugar Limited (KSL) formally Kinyara Sugar Works Limited (KSWL), is a sugar manufacturer in Uganda.
Evans Odhiambo Kidero is a Kenyan politician and former Governor of Nairobi County. He was CEO of Mumias Sugar Company for 8 years, resigning in 2012 to join elective politics.
The Uganda National Oil Company (UNOC), also known as the National Oil Company of Uganda, is a limited liability petroleum company in Uganda owned by the Ugandan government. The 2013 Petroleum Act of Uganda provides for the establishment of the national oil company. UNOC's board of directors was inaugurated on 23 October 2015 by the president of Uganda.
The Kenya–Uganda–Rwanda Petroleum Products Pipeline is a pipeline that carries refined petroleum products from the Kenyan port city of Mombasa to the country's capital of Nairobi and continues to the city of Eldoret in the Eastern Rift Valley. There are plans to extend the pipeline to Uganda's capital, Kampala, continuing on to Rwanda's capital, Kigali.
Equity Group Holdings Limited (EGHL), formerly Equity Bank Group, is a financial services holding company based in the African Great Lakes region. EGHL's headquarters are in Nairobi, Kenya, with subsidiaries in Kenya, Uganda, Tanzania, South Sudan, Rwanda, Democratic Republic of the Congo and a representative office in Ethiopia.
Uganda is the largest producer of granular brown sugar in the East African Community, accounting for about 500,000 metric tonnes annually as of May 2017. By 2021, national annual sugar output had increased to about 600,000 metric tonnes of brown sugar and 60,000 metric tonnes of industrial sugar. In October 2022, it was projected that the country would produce 822,000 metric tonnes in calendar year 2022. Of that, about 720,000 metric tonnes would be brown table sugar and about 102,000 metric tonnes would be white industrial sugar.
