Fresh Tea Sector Reforms To Boost Farmer Earnings And Restore Confidence
KTDA Holdings Chairman Chege Kirundi briefing journalists as other stakeholders led by Agriculture PS Paul Rono listens
By MKT Correspondent
The government has rolled out a comprehensive package of reforms aimed at improving tea farmer earnings, strengthening governance, and enhancing global competitiveness in Kenya’s tea sector.
Through deliberate interventions including subsidized fertilizer at KSh2,500 per bag, recovery of KSh2.7B held in collapsed banks, removal of VAT on tea and packaging materials, and modernization of factories with KSh3.7B from President William Ruto, the government is driving a farmer centered transformation agenda.
Yesterday, Agriculture Principal Secretary Paul Ronoh reaffirmed that while the 2024/25 bonuses were affected by global price declines and currency fluctuations, structural challenges within KTDA Holdings Limited must be urgently addressed.
He ruled out disbandment of KTDA, instead emphasizing governance reform, financial accountability, and transparent leadership to restore farmer trust.
Among new measures are the rollout of national green leaf quality standards, operationalization of the Tea Quality Analysis Laboratory in Mombasa, enforcement of strict expenditure limits for KTDA directors, and directives for the release of KSh2.7B to farmers by mid-October.
The PS further announced a tea stakeholders’ conference in two weeks to chart long-term solutions for the industry that sustains over 10 million Kenyans.
The forum was attended by among others various stakeholders led by the agency chairman Chege Kirundi and group Chief Executive Officer Wilson Muthaura.
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