Kenya Tea Development Agency Holdings Ltd (KTDA), a comprehensive services provider, has announced a substantial 44.15 billion Kenyan shillings ($297.91 million) bonus payout to its six hundred thousand smallholder tea farmers across fifty-four factories, scheduled for this month. This bonus will be distributed alongside the green leaf supplies for September, covering the financial year ending June 30. The increased bonus payout, up 7.6 percent to an all-time high of $456.82 million, is attributed to improved tea prices in the internal market, increased sales of orthodox tea, and a favorable foreign exchange rate.
Despite lower green leaf production due to drought conditions and reduced rainfall, the minimum tea price introduced as part of sector reforms, along with a weaker shilling, has boosted farmers' earnings. Regions like Kericho-Bomet, Kiambu, and Kirinyaga-Embu will witness significant bonus payouts, contributing to the upliftment of smallholder tea farmers.