Ruto vs Tata: Bitter fight for Magadi wealth

President William Ruto’s directive to remove Tata Chemicals Magadi from Lake Magadi has triggered a political storm over Kenya’s control of its natural resources, investor confidence and the future of mining operations in Kajiado County.

The dispute has intensified after Ruto ordered the century-old company to leave the Magadi soda ash fields, accusing it of extracting raw trona and exporting natural soda ash without doing enough to establish local processing and manufacturing capacity.

The president has since said the Magadi mining rights will be opened to fresh, competitive bidding, after his initial directive triggered political backlash and claims that a replacement investor had already been identified.

Ruto has framed the move as part of a broader government policy to end the export of raw materials and force greater value addition within Kenya.

Speaking during a thanksgiving service in South Horr, Samburu County yesterday, the president said Kenya could no longer afford to export its natural resources in raw form while importing processed products and missing out on jobs and economic opportunities.

“Going into the future, our position as the government. Whether we are talking about Magadi Soda or oil or all our minerals we have taken the decision that we will no longer export raw materials. We are going to process all minerals available in Kenya,” Ruto said.

He cited gold, limestone, iron ore, graphite, titanium and soda ash among the resources that should be processed locally before being exported.

Ruto said the government would work with investors to establish processing facilities and increase value addition across the extractive sector, arguing that the approach would create jobs, increase export earnings and reduce poverty.

“It is the reason why we are working with Dangote to have an oil refinery in Lamu and working with others to have gold refineries because it is imprudent for any government to export raw materials, create jobs and value in other countries while we have a big population of young people who need jobs and whose value on adding to our products can make a big difference in our country,” he said.

The president also defended his decision to remove Tata Chemicals from Lake Magadi, arguing that Kenya had not been receiving sufficient economic value from the company’s long-running operations.

He claimed raw materials were being exported while processed products were subsequently brought back into the country.

Ruto said the government intended to open up the resource to several investors rather than maintain a single arrangement.

“We want to give five, six or even 10 companies an opportunity to use the resources there to create jobs, value, create wealth and reduce poverty,” he said.

The government has separately maintained that Tata Chemicals failed to meet obligations under its long-standing arrangement, with the company’s mining operations suspended on July 28, 2026, following a directive from the Ministry of Mining, Blue Economy and Maritime Affairs citing compliance and licensing concerns.

Tata Chemicals has operated at Lake Magadi for more than a century. Its Kenyan operations date back to 1911, when the Magadi Soda Company began extracting trona from the lake, making the company one of the country’s longest-established foreign investors.

The government’s action, however, has drawn sharp criticism from the opposition, which has questioned the legality and motivation behind the shutdown.

Leaders from the Democracy for Citizens Party (DCP), associated with former Deputy President Rigathi Gachagua, have described the move as “a textbook example of state-sponsored economic sabotage”, alleging that commercial interests rather than regulatory concerns were behind the decision.

Nairobi Senator Edwin Sifuna has also condemned the directive, warning that abruptly ordering an established investor to leave could undermine Kenya’s reputation as a destination for foreign investment.

Speaking during a funeral service in Bumula, Bungoma County, Sifuna said the government needed private investors to create employment, particularly for young people, because the State could not employ everyone.

“We need to restore the rule of law. No investor can bring a project to a country where they can wake up one day and be told to pack and leave,” Sifuna said.

Sifuna and members of the Linda Mwananchi movement accused the government of interfering with private investment, warning that the decision could have wider economic consequences at a time when Kenya is already grappling with economic pressures.

The senator also raised broader concerns over democratic freedoms, calling for the protection of journalists and opposition figures amid allegations of political violence and the targeting of government critics.

Bumula MP Jacob Wamboka similarly criticised the government over recent political violence, accusing the administration of targeting opposition leaders.

Concerns over the government’s handling of the 2027 political environment were also raised in Machakos and Kisumu, where opposition leaders Kalonzo Musyoka and Babu Owino questioned the preparedness and independence of the Independent Electoral and Boundaries Commission.

Musyoka called for a transparent process in the reconstitution of the electoral commission, while Owino accused the government of targeting opposition politicians and their supporters.

Meanwhile, former Deputy President Rigathi Gachagua has continued his political engagements in the United States, where he met Kenyans living in Spokane, Washington, as he seeks to consolidate his political base ahead of the 2027 General Election.