President William Ruto has announced a Sh3.7 billion rescue package to address the longstanding challenges faced by tea farmers in Gusii and the Rift Valley. The funding aims to modernize tea factories, improve productivity, and narrow the disparities in bonus payments between farmers in the West and East Rift regions. This move comes after Gusii leaders raised concerns about the significantly lower bonuses received by farmers in the region compared to their counterparts in other parts of the country.

The President made the announcement at Nyamaiya grounds in Nyamira County, where he stated that the government had already released Sh1.2 billion to support tea factories, with a further Sh2.5 billion earmarked for the next financial year. He acknowledged that farmers in the West Rift region continued to grapple with lower average tea prices, citing the need for modernized factories to support farmers and increase productivity. President Ruto emphasized that the additional funding would help bridge the longstanding divide between the two regions.

The disparities in tea earnings have been a contentious issue, with legislators from Kisii and Nyamira expressing outrage at the low bonuses paid to farmers in the region. They accused the Kenya Tea Development Agency (KTDA) of discriminating against Gusii tea farmers, citing payments of as little as Sh12 per kilogram, against payments of up to Sh60 per kilogram in Central Kenya. The lawmakers warned that the disparities had fueled resentment towards the government and made it increasingly difficult for them to engage with their constituents.

President Ruto identified high energy costs as another major obstacle facing tea factories in the West Rift, noting that many continued to rely on expensive electricity to run their operations. He announced plans to assist factories in transitioning to solar energy to reduce costs. The President also outlined other interventions his administration had introduced to benefit farmers, including the registration of all agricultural producers, reducing the cost of fertilizer from Sh7,000 to Sh2,000, and eliminating brokers.

Gusii leaders, including Kisii Governor Simba Arati and Kisii Woman Representative Dorice Aburi, challenged President Ruto to ensure that the United Democratic Alliance's new slogan, Usawa ni Sawa, translated into tangible equality for all, including tea farmers. They emphasized the need for fairness in government policies, particularly in the tea sector, which remains the backbone of the local economy and a lifeline for thousands of households.

A recent inquiry by the National Assembly Departmental Committee on Agriculture and Livestock established significant regional disparities in tea prices. During the 2024/25 financial year, tea from the East Rift fetched an average of $2.95 per kilogramme at auction, compared with $1.78 per kilogramme for tea from the West Rift. Despite accounting for approximately 70 per cent of national tea production, the western region continues to face challenges including lower-grade tea quality, higher production costs, and tea hawking.

To address the disparities, the committee recommended replacing inefficient factory machinery, auditing local hydropower projects, conducting lifestyle audits of factory management, and expanding efforts to develop global markets. President Ruto's administration has committed to finding solutions to the longstanding challenges in the tea sector, with the goal of achieving equitable bonus payments for farmers across the country. The President's plan aims to support tea farmers and promote fairness in the industry.

Key points

  • President Ruto announces a Sh3.7 billion investment to modernize tea factories and bridge bonus payment disparities between tea farmers in Gusii, Rift Valley, and East Rift regions.
  • The government has already released Sh1.2 billion to support tea factories, with a further Sh2.5 billion earmarked for the next financial year.
  • The disparities in tea earnings have been a contentious issue, with legislators from Kisii and Nyamira expressing outrage at the low bonuses paid to farmers in the region.

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SaharaWire Newsroom
SaharaWire

Reporting for SaharaWire from the Nairobi bureau.