Greenleaf Tea Production boom sees Farmers profits Up 15.2%

Smallholder tea farmers under the Kenya Tea Development Agency (KTDA) have reported substantial growth in the production of Greenleaf.

KTDA has witnessed a 15.2 percent increase in Greenleaf production, resulting in a corresponding 2.8 percent rise in processed tea sales.

This surge in production has been attributed to various factors including favorable weather conditions and the effective utilization of subsidized fertilizer among farmers.

“We are working round the clock to push as much tea as possible working with other stakeholders including government agencies. Our single focus remains improving the earnings for the farmers,” said Wilson Muthaura, the Chief Executive Officer of KTDA Group.

One of the key factors contributing to the optimism among farmers is the expectation of higher returns.

This anticipation stems from favorable forex exchange rates, which have led to an increase in the price of KTDA teas by 3 percent rising from $2.70 per kilogram to $2.78 per kilogram.

Also Read: KTDA approves exit of long-serving CEO Samuel Tiampati

Additionally, factories in the West of Rift have increased their rates for a kilogram of greenleaf from Ksh. 20 to Ksh. 24, while those in the East of Rift have raised their rates from Ksh. 21 to Ksh. 25, effective January 2024.

The latest data from KTDA reveals that a staggering 763,208,762 kilograms of greenleaf were delivered to their factories over the last seven months, spanning from June 2023 to January 31st, 2024.

This substantial volume underscores the robustness of Kenya’s tea production sector and its vital contribution to the country’s economy.

The positive growth trajectory in greenleaf production and processed tea sales reflects a promising outlook for smallholder tea farmers in Kenya.

With supportive policies, favorable market conditions, and strategic partnerships, the tea industry is poised to continue thriving, benefiting both farmers and stakeholders across the value chain

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Collins Ogutu

Nairobi based Digital Journalist, Corporate Communication Expert and Digital Marketer with a wealth of experience in multimedia. Accredited member of the Media Council of Kenya.

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