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Kenya expects key reforms to bring hope to tea sector
In Kenya, small-scale tea farming accounts for more than 65 per cent of the country’s total tea production, with the other portion produced by multinational companies. But despite this, the sector is faced with many challenges. Irungu Nyakera, Chairman of Kenya Tea Sector Lobby joins CNBC Africa for more.
Mon, 06 Sep 2021 11:07:51 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- Implementation of the Tea Act and establishment of the Tea Board leading to positive changes in the tea sector.
- Focus on value addition and income stabilization to enhance farmer returns and sustainability.
- Exploration of new markets to promote Kenyan tea internationally and diversify market reach.
Kenya, known for its small-scale tea farming which contributes more than 65% of the country's total tea production, has been seeking significant reforms to address challenges in the sector. Irongo Nya Kera, Chairman of Kenya Tea Sector Lobby, highlighted the key reforms aimed at boosting the tea industry during a recent interview with CNBC Africa. The interview shed light on the impact of recent changes in the sector and the potential for growth through policy adjustments and market expansion. The tea sector in Kenya has undergone a transformation with the implementation of the Tea Act and the establishment of the Tea Board. These reforms have already started showing positive results, such as a rise in tea prices at auctions following the introduction of a reserve price. Despite a minor dip in prices in a recent auction, the sector remains optimistic about stabilizing prices and ensuring fair returns for farmers. The focus on value addition and income stabilization for tea farmers is a key aspect of the proposed policy changes. By increasing the share of value added within the country, the sector aims to enhance farmer incomes and make tea farming a more viable and sustainable venture for the future. Additionally, efforts are underway to explore new markets to promote Kenyan tea internationally. While current major markets include Pakistan, Egypt, and the UK, there is a push to diversify and tap into other potential markets to further strengthen Kenya's position as a leading global tea exporter. Through strategic policy reforms and targeted market expansion, the Kenya tea sector is poised for growth and resilience in the face of evolving market dynamics.
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