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Kenya's Tea Sector in Crisis: Time for Radical Reform

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Nyakundi Report

Newsroom 2 min read

This archive report was first published on 15 October 2019.

On October 15, 2019, the Kenyan tea sector was in crisis, with farmers struggling to make ends meet. The industry was deeply entrenched in politics and controlled by cartels that skimmed off the sweat of farmers.

The Kenya Tea Development Agency (KTDA) was at the center of the controversy, with its wide and unfettered powers contributing to the sector's woes. The agency was responsible for managing tea cultivation, weighing and collecting green leaf, transportation, and marketing of processed tea.

However, the KTDA's management of the sector was marred by allegations of underhand practices, including price fixing that diminished farmers' returns. The agency's announcement of a drastic cut in bonuses for farmers this financial year only added to the sector's problems.

The earnings from tea exports and sales plummeted to Sh69.8 billion from Sh85.7 billion last year, with the agency attributing the decline to political and economic crises in traditional tea markets. However, farmers were convinced that the sector's problems ran deeper, with some calling for radical reform to address the issues.

As the sector continued to struggle, the court had intervened, ordering an investigation into the prices of tea. However, the issue of price fixing remained a contentious one, with farmers demanding fair compensation for their labor.

Ultimately, the crisis in the Kenyan tea sector highlighted the need for radical reform to address the issues of poor management, cartels, and politics. The government and authorities charged with managing the sector needed to take urgent action to revitalize the industry and ensure that farmers received fair compensation for their work.

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