KTDA accuses government, politicians of interfering with tea factory management 

KENYA – The Kenya Tea Development Agency (KTDA) Holdings board and its 54 affiliated factory companies have accused the government and politicians of interfering in the management of smallholder tea factories, a move they say has negatively impacted the tea sector and farmers’ earnings. 

In a statement, the KTDA Holdings Board criticized the Ministry of Agriculture for removing reserve tea prices without consulting stakeholders.  

This decision, they argued, has led to a sharp decline in tea prices at the Mombasa Tea Auction, affecting farmers’ incomes. 

The board also expressed disapproval of Agriculture Principal Secretary Kiprono Ronoh for making unilateral pronouncements, including the separation of satellite factories from mother factories, which they claim disregarded farmers’ interests.  

Additionally, they faulted government agencies for organizing impromptu meetings with factory directors, which disrupted operations and cost farmers significant earnings. 

KTDA vice-chair Eric Chepkwony specifically criticized PS Ronoh for alleged interference in board disputes at the Michimikuru Tea Factory, including the suspension of its directors.  

“They have interfered with the judicial process by making pronouncements on Michimikuru directorship contrary to the court ruling,” Chepkwony stated. 

Chepkwony noted that dissatisfaction among a section of Michimikuru Tea Factory shareholders following director elections led to attempts to convene a special general meeting.  

The KTDA board accused PS Ronoh of visiting the factory and announcing the suspension of its board without giving directors an opportunity to defend themselves, a violation of natural justice. 

The board further alleged that officers of the National Police Service facilitated an illegal meeting at the factory during its 2024 Annual General Meeting, resulting in violence. The matter is now the subject of a court injunction. 

According to KTDA, the ongoing disputes and political interference have harmed the sector’s reputation, leading to reduced tea absorption by international buyers and diminishing farmers’ earnings.  

Chepkwony attributed the declining tea market performance to negative publicity and policy missteps, including the removal of the price floor, which he claims was based on poor advice given to the former Agriculture Cabinet Secretary Andrew Karanja. 

KTDA also highlighted long-standing disagreements with farmers over the management of tea factories.  

In October 2022, 31 factories in the Mt. Kenya region demanded a review of their agreements with KTDA Management Services, calling for sales proceeds to be directly remitted to factory accounts rather than KTDA’s. 

The agency concluded by urging the government to respect court rulings and refrain from actions that destabilize the tea industry, which is vital to Kenya’s economy and farmers’ livelihoods. 

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