This archive report was first published on 27 October 2021.
On October 27, 2021, the Kenya Tea Development Agency Management Services Limited announced the release of Sh21.6 billion as tea bonuses to farmers for the financial year ending June 30, 2021.
More than 600,000 farmers across the country will receive the payments by the end of the week, according to a statement by KTDA.
The payment includes a Sh600 per 50 Kg bag of fertilizer subsidy, which will be reflected in the payment to pass on the Sh1 billion fertilizer subsidy by the government directly to the farmers.
KTDA Chairman David Ichoho appealed to farmers to re-invest their earnings in increasing farm production quality, in a bid to make their businesses more sustainable.
However, the Sh21 billion bonuses is one of the lowest-paid out in recent years, with last month's payment rate margin being the same or slightly lower than what farmers received the previous year.
The payment rate is determined by sales volumes, quality of tea by individual factories, prices at the auction, and how factories have managed their operations.
