Tata Chemicals Awaits Kenya Ministry Response After President Orders Exit

By Shakir Husain

HYDERABAD, Sept 4 (Bernama) -- Tata Chemicals, part of India’s vast Tata conglomerate, said it is awaiting a response from Kenya’s Mining Ministry to documents it submitted regarding its mining operations after President William Ruto ordered its Kenyan subsidiary to cease operations in the country.

Ruto on Thursday accused the subsidiary, Tata Chemicals Magadi Limited (TCML), of exploiting resources in Kajiado County without benefiting the local community.

“We have vast resources at Lake Magadi that can transform Kajiado County and our country, Kenya. That Tata Chemicals company has had a licence for 100 years but has not built anything in Kajiado or employed any people from Kajiado,” Ruto was quoted as saying in a report by Nairobi Leo digital media on Thursday.

Ruto said the government would issue the Magadi soda ash mining licence to new investors.

Tata Chemicals said in a July stock exchange filing that TCML received a notice from Kenya’s Mining Ministry, Blue Economy and Maritime Affairs on July 28, directing it to suspend mining operations and soda ash exports.

TCML submitted the requested information, reports and documentation to the ministry on Aug 11, the company said on Thursday following Ruto’s remarks.

“TCML has provided a comprehensive response to the matters raised by the ministry, including information regarding its compliance with applicable regulatory requirements. We await the ministry's review of our submissions and its further direction,” it told Bernama in response to a query.

“We respect the authority of the Government of Kenya and remain committed to constructive engagement through the appropriate legal and regulatory channels to resolve the outstanding matters,” it added.

The dispute over soda ash extraction and processing in Magadi, southern Kenya, is long-running.

Kenya is the world’s fourth-largest producer of natural soda ash, accounting for one per cent of global output, according to the United States (US) Geological Survey.

-- BERNAMA