The decision follows months of diplomatic tensions that left millions of kilogrammes of Kenyan tea stranded in Mombasa and caused significant losses for exporters.
The leadership change comes amid a boardroom dispute over the chairmanship, with court orders preserving Enos Njeru’s position as KTDA chairman.
The funding will target ageing factory infrastructure and productivity challenges as regional disparities persist, with East Rift farmers receiving bonuses of up to Sh60 per kilogramme.
Increased factory output, lower imports and higher sugar stocks are improving domestic supply, while Kenya seeks international partnerships to develop export markets and ethanol production.
The facility will process more than 70,000kg of green leaf daily, creating new market opportunities for outgrowers and expanding Kenya’s specialty tea production.