This archive report was first published on 6 October 2019.
Sunday, October 6, 2019
Kenya's tea industry faced a decline in prices in the 2019/20 financial year, with the Kenya Tea Development Agency (KTDA) paying an average of Sh41.27 per kilogramme, second only to Sri Lanka's Sh48.72.
According to a tea industry report released last week, KTDA, which manages small-scale farmers, saw a decline in prices compared to the previous financial year. In 2018/19, KTDA had paid Sh52 per kilo, while farmers in Sri Lanka earned Sh51.
"With all the challenges, we remained at the top in payment of our farmers, emerging number two in the world market," said KTDA managing director Lerionka Tiampati.
Despite the decline, farmers affiliated to KTDA earned Sh69.7 billion in the review period, compared to Sh85.7 billion in the previous year.
KTDA attributed the decline to low international prices during the review period, following a glut and increased cost of production.
"This performance has been realised at a time when most of tea-producing countries have registered increased production," said Mr Tiampati.
Other African countries, including Rwanda, Burundi, Tanzania, Malawi, and Uganda, ranked lower in the tea price rankings.
