Kenya allocates US$27.05M to upgrade tea factories amid wider agricultural reforms 

KENYA – Kenya has allocated KES 3.5 billion (US$27.05M) to modernize infrastructure across 19 tea factories, in a move aimed at enhancing operational efficiency and increasing farmer earnings.  

This investment is part of ongoing comprehensive reforms in the tea sector designed to address structural challenges and improve returns for smallholder farmers. 

Principal Secretary for Agriculture, Dr. Kiprono Rono, announced the budgeted upgrades during a briefing on the government’s broader strategy for the tea sub-sector. 

He emphasized that infrastructure enhancement is key to improving quality and meeting market demands. 

In addition to infrastructure, the reforms include tax reductions on tea and the removal of levies on packaging materials to support value addition.  

Dr. Rono noted that plans are underway to introduce direct sales of local tea, aiming to minimize transaction costs and maximize profits for producers. 

The Principal Secretary also revealed that Kenya will host an international tea conference in October 2025 to expand global market access for Kenyan tea. The event is expected to attract buyers, investors, and stakeholders from across the global tea value chain. 

Beyond tea, Dr. Rono said that similar reforms are being implemented across other value chains including coffee, pyrethrum, avocado, and sugar.  

Kericho is among the 19 counties set to benefit from over 500,000 pyrethrum seedlings, 1.2 million coffee seedlings, and 27 new sugarcane varieties known for higher yields, drought resistance, and shorter maturity cycles. 

The government is also investing in 1,450 ward-level cooperatives, which will enable farmers to access certified seedlings and financing for their agricultural ventures.  

Last-mile fertilizer distribution centers are being launched across the country to improve farmer access to affordable inputs and extension services. 

Meanwhile, tea farmers in Vihiga County have called for urgent government intervention to revive the struggling sector.  

Nicholas Kitungulu, former Chairman of the Vihiga Cultural Society and County Executive Committee Member for Agriculture, urged the national government to empower devolved units to play a more prominent role in tea production, marketing, and policy implementation. 

Kitungulu warned of a growing trend where frustrated farmers are uprooting tea bushes due to low prices and high input costs.  

He appealed to farmers to remain committed to tea farming, citing its long-term contribution to national exports and rural livelihoods. 

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