KTDA increases tea bonus in bid to thwart farmers’ boycott
What you need to know:
- Farmers will now receive Sh51.8 billion compared to Sh46.4 billion paid out in the last financial year.
The Kenya Tea Development Agency (KTDA) has increased farmers’ bonus by Sh5 billion as it seeks to discourage them from boycotting tea picking in protest of poor payment rate.
In a statement to newsrooms, the tea agency said farmers will now receive Sh51.8 billion compared to Sh46.4 billion paid out in the last financial year.
"We urge farmers not to be incited to boycott tea plucking as it would lead to heavy and unnecessary losses to them," the statement said.
The increase follows protests by farmers across the country over poor bonuses payments announced this year, with growers threatening to boycott tea picking.
KTDA noted that in the last financial year, tea production went up by 30 per cent, which exacerbated the surplus situation in the world — Kenya being a leading exporter of black tea.
The overproduction consequently affected prices at the Mombasa auction by 8 per cent in the second year in a row, according to the agency.
The agency said to ensure farmers do not incur any losses, the over 4,000 tea buying centres operated by KTDA-managed tea factories will remain operational and collect green leaf from farmers as is the norm.