New law for tea, coffee exports

The Government is drafting a new law to limit the sale of raw tea and coffee beans to encourage industrialisation.

Industry, Trade and Cooperative Cabinet Secretary Peter Munya said on Wednesday the proposed law would aim to compel players in the two sectors to make value addition a part of their production processes.

“A vibrant value addition sector will open up vast opportunities for job creation along the value chain while increasing earnings for farmers and tea exporters, which will, in turn, generate more revenue to the exchequer,” said the CS at the launch of Sudanese premium tea brand Faraja Tea in Nairobi.

Owned by leading global conglomerate Cofftea Agencies, the firm is the third-largest buyer of Kenyan raw tea, which it blends and packages in Sudan.

SEE ALSO :Drop in banks’ profit denies State Sh69b

The company plans to produce 600 tonnes of tea each month from its Mombasa plant to compete in the mass market segment.

“Kenya’s tea potential is largely unexploited and that is why something has to be done,” said Mr Munya.

Gatundu South MP Moses Kuria has said he is working on a similar law, proposing the banning of the exportation of unprocessed coffee to boost farmers’ earnings.

GovernmentPeter MunyaCofftea AgenciesCoffee Export