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Kenyan tea farmers’ earnings fall 10 per cent

Kenyan tea farmers hired by Kenya Tea Development Agency (KTDA) are set to receive lower pay for the last financial year ending June 2013 than they did for the previous 12 months despite a 25 per cent increase in production

KTDA said that its growers delivered approximately 1.1bn kilogrammes of green leaf to the 66 factories under its management against 907mn kilogrammes over the same period last year. The KTDA financial year runs from July to June.

Kenya Tea Development Agency expected earnings per kilo for the farmers to drop by an average 10 per cent due to dynamics of the global tea market.

"This is because the global tea market for Black CTC teas was generally depressed, driven by high volumes and volatile market dynamics," said KTDA.

KTDA revealed yesterday that its farmers transport around 1.1bn kilos of green leaf to the 66 factories under its management against 907mn kilogrammes over the same period last year.

"The small scale tea sub-sector gin Kenya has not been spared from the global market dynamics, but the high volumes delivered mean that farmers will even out," Tiampati said.