Despite challenges facing the tea industry, particularly the sharp increase in the cost of electricity, fuel and other key production inputs, KTDA Managed factories have posted impressive results.
Small-scale tea farmers countrywide will receive a total of Ksh30.5 Billion as Second Payment, popularly known as bonus, from the end of October following the recent announcement by the Kenya Tea Development Agency (KTDA) of yet another year of record earnings.
has already been paid to farmers as initial payment, which is done on a monthly basis over the financial year at an average rate of Ksh12 per kg of green leaf delivered.
The balance of Ksh30.5 Billion will be released as Second Payment.
The average rate of pay for the Second Payment has risen from Ksh31.52 to Ksh36.40 per kg of green leaf delivered. That brings the total pay per kilogramme of green leaf to Ksh48.40, up from Ksh43.76, on average, maintaining the position of Kenya’s small-scale tea farmers as the highest paid in the world.
He said the average net selling price per kilogramme of made tea increased by 6.5 per cent from Ksh233.72 in 2010 to Ksh248.95 in 2011.
Although the cost of electricity, fuel and imported inputs, such as fertilizer and machinery, had risen sharply over the year, causing farmers a lot of anxiety, Mr Tiampati said it was commendable that the factories had managed to record a 6 per cent increase in total revenue.
KTDA manages a total of 65 tea processing factories located across all of Kenya’s tea growing counties. These factories are owned by 54 Tea Factory Companies, whose shareholders are the more than 560,000 small-scale tea farmers who are also the suppliers of the leaf.
KTDA Corporate Affairs Department
Tel 3227000, 3227915
Head of Corporate Affairs