The Mountain Journal
The tea factories in the east of the rift achieved low prices for the second week running, following the implementation of the tea levy 2026 of Sh 2.28 of a kilogramme of made tea at the auction.
In the weekly auction, KTDA-managed factories in the East complained of reduced tea sales due to higher prices following the implementation of the 0.8 per cent tea levy on May 1.
The 71 factories under the KTDA fetched Sh 1.4 billion after the sale of 4.7 million kgs of the commodity for the local and export markets.
In the analysis, factories in the east of the rift had offered 4.512 million kgs, but sold 2.718 million, reflecting 60.2 percent compared to last week’s 56.73 percent.
In the west of the rift, the factories had offered 2.315 million kgs but sold 2.112 million kgs, reflecting 91.2 percent, compared to last week’s 86.85 percent..
In the summary, Kenya tea, from the KTDA and Independent producers, was at 10.195 million but sold 7.788 million kgs, reflecting 75 percent.
In the EATTA report, Mununga factory sold 85,296 kgs, fetching Sh 33 million, Ngere 80,939kgs ( Sh28.8million ), Gathuthi 62,490 kgs (Sh 23.6 million ), Rukuriri 66,148 kgs ( Sh 25 million), Kinoro 51,400kgs (Sh 19.5 million).
Others were Kiegio 70,864 kgs (Sh 27 million), Githongo 82,613 kgs( Sh 31.5 million) and Imenti 71,248 kgs (Sh 27.1 million, Njunu 56,862 kgs (Sh 20.5 million), among others.
Factories that sold the highest volumes at the market, the report states, were Thumaita 109,086 kgs, Mogogosiek 108,621 kgs, Gachege 103,612 kgs, and Tirgaga 102,068 kgs.
KTDA Holding Chairman Enos Njeru says the volumes offered by the small-scale factories are too low because buyers are avoiding expensive teas.
The farmers across the counties, he said, are plucking the quality green leaf eying to retain the expanded markets, despite the emerging handicap.
“ The tea factories in the East of the Rift suffer due to the levy imposed on the buyers turning to Rwanda and Burundi,” said Njeru.
EATTA Managing Director George Omuga said the auction sold 8,855,106 kgs at Sh 2.4 billion, where Kenya sold 7,691,086kgs for Sh 2.1 billion sourced from KTDA factories and the independent producers
“Uganda farmers earned Sh 111 million for 699,877 kgs, and Burundi sold 12,396 kgs, fetching Sh2.5 million “, said Mr Omuga.
He detailed that, owing to the tea levy, the buyers are not interested in Kenya’s teas.
“The statistics indicate that the buyers are buying teas from Uganda, Burundi and Tanzania, and a few bulk orders from Kenya,” he said.
Peter Kamore, a tea value chain expert, pleaded with the government to evaluate the challenges that originate from the tea levy, as buyers have relocated to the tea from other nearby countries.
Kamore said farmers in Kenya claim they have been unaware of the tea levy, calling for its suspension until a public participation was conducted through the buying centres
“The government should come to the rescue of the tea farmers and ensure there is fairness,” said Mr Kamo, adding that the few bulk purchases bought from Kenya are for blending.
In the buyers category, 53 companies participated, with LAB International leading the pack, buying 1,534,559 kgs, Global Tea 1,140,034kgs, Chai Trading 970,348 kgs, Aditya Birla 825,192 kgs, among others.
