Del Monte Kenya clashes with local govt over lease renewal
Del Monte Kenya has reportedly sued the government of Murangāa county for declining to extend the leases for its pineapple plantations.Ā
Website The-star.co.ke reported court documents showedĀ the Fresh Del Monte subsidiaryĀ applied for an extension of various leases to local authorities on Oct. 1, 2012.
However, it said that despite complying with the statutory procedures, the authorities had failed to issue the letters of 'no objection' for an extension of the leasehold terms.
Instead, the Murangāa government reportedly 'requested' Del Monte allocate to them at least 1,500 acres alongĀ the Thika-Kenol highway for 'public use'.
Del Monte says the request is unconstitutional and illegal as the county has no basis to make such demands, according to The-star.co.ke, whileĀ Del Monte Kenya managing director Stergios Gkaliamoutsas said Murangāa had delayed and frustrated the lease extension process.
Del Monte Kenya is the countryās largest exporter of fresh and processed pineapples, according to the story.
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