Kenya grants 10 KTDA tea factories autonomy under reforms to boost farmer earnings

KENYA – Kenya has granted 10 Kenya Tea Development Agency (KTDA)-managed factories autonomy from their parent companies under tea sector reforms aimed at improving governance, efficiency and farmer earnings. 

Seven additional factories are expected to receive autonomy from the Tea Board of Kenya (TBK) within the next two months, as the government implements reforms affecting a sector supporting more than 700,000 smallholder farmers. 

Agriculture Principal Secretary Paul Kipronoh Ronoh said most factories that had unsuccessfully sought autonomy for years were in the West of Rift Valley, particularly Bomet, Kericho, Nakuru, Nandi and Nyamira counties. 

“Motigo, Tirkaga, Olenguruone, Chelal, Litein, Kapkatet, Tebesonik, Tegat, Toror and Kapkoros have been granted autonomy while Mogogosiek, Boito, Rorok and Kapset are expected to be granted autonomy from their parent companies in the next two months,” Ronoh said. 

Speaking at Kapkoros Tea Factory in Bomet County, Ronoh said the reforms were intended to ensure farmers benefit more from the tea industry. 

Shareholders will also elect their own zonal directors after a review of factory boundaries. 

KTDA has 77 factories registered as 54 units, with most amalgamated factories in the West of Rift Valley region. 

The reforms are aimed at reducing costs, encouraging quality production and developing new market niches. 

Alongside the factory reforms, the government is working with industry players to expand export markets, with emphasis on value addition and branding. 

Ronoh said Kenya’s tea exports had not been adversely affected by turmoil in the Middle East. Kenya is seeking markets in Africa, Europe and Asia to compensate for disruptions in traditional destinations. 

China has emerged as a major new market after the government secured duty-free access for Kenyan tea. South Africa has also emerged as a new African market. 

Ronoh said Kenya was seeking to maximise opportunities in China through high-quality green-leaf plucking, upgraded production lines and value addition. 

KTDA Holdings Vice-Chairperson Menjo Mosonik said the agency was working to improve tea quality from farms to factories to access more lucrative global markets. 

“KTDA is working with the government and players in the industry to expand the market destination for our teas, with a key focus being value addition to feed into the growing global demand and ensure farmers are paid higher in the short and long term,” Mosonik said. 

He added that KTDA was working with the government to modernise processing units, reduce losses, increase farmer earnings and create jobs. 

The tea sector recorded a market value of Sh218.79 billion last year, while Kenya’s export footprint expanded from 96 to 100 markets. Tea export earnings increased 2.87% to Sh186.91 billion in 2025 from Sh181.69 billion in 2024, according to TBK data. 

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