The Senate has successfully passed the Tea Bill, giving fresh hope to tea farmers in the country. The bill provides for radical policy and structural reforms to the tea sector, assuring farmers of better returns.
The policy will see the elimination of cartels and middlemen, hence getting rid of old and tired leadership at Kenya Tea Development Agency (KTDA) and factories. It will further ensure that these agencies and focus on marketing and value addition.
The Kenya Tea Sector Lobby applauded the Senate for the commitment to lift the fortunes of over 660,000 tea farmers. Kenya now sits right in the path of driving the tea sector to be a leading source of foreign exchange and sustainable jobs, especially for youth and women who supply the majority of the labor in the sub-sector.
As soon as the president signs the bill into law, farmers will immediately start receiving half of their tea proceeds within 30 days of such sales, with the balance being paid as bonuses. This will reduce the exposure of tea farmers to predatory lending by financial institutions which was driven by delayed payments. Farmers will also be able to carry out factory elections on the basis of one man one vote, away from a previous opaque election system that lacked transparency.
“We are delighted that tea farmers in Kenya will monitor the movement of tea through an auditable electronic auction process, that was previously manipulated by cartels. The proceeds of tea sales at the auction will be remitted to the factories within 14 days,” said Irungu Nyakera, Chairman, Kenya Tea Sector Lobby
The lobby will launch a public sensitization drive of the Tea Bill in January 2021 to ensure all farmers understand its provisions.