KTDA promises reforms

Cartoon

By Vitalis Kimutai

The Kenya Tea Development Agency (KTDA) has come under scrutiny from small-scale growers for alleged underpayment.

The growers say the authority under pays them for green leaf delivered to its buying centres. They are paid Sh10.50 per kilo –– an amount they say should be increased to about Sh30.

The farmers also want the market to be liberalised to allow them to sell to the highest bidder.

Nabbing thieves

Besides low pricing, farmers cite poor management of cess deductions meant for maintenance of feeder roads, theft by clerks who have tampered with weighing scales at tea buying centres and bloated management at some factories as some of the problems bedevilling KTDA.

However, Mr Lerionka Tiampati, the KTDA Managing Director, says the organisation was addressing some of the issues raised by the farmers.

Tiampati say the agency would introduce electronic weighing scales to curb wastage.

"Complaints have been received of clerks falsifying records in tea buying centres. We have fired those who have been found guilty," he said during an interview with The Standard on Sunday.

To enhance efficiency in leaf collection, factory unit managers have been advised to acquire modern fleets of vehicles.

Managers have also been directed to dispose of vehicles after every five years to cut down on the cost of maintenance and enhance productivity.

"The economic slump and the skyrocketing fuel prices have led to increased production costs in KTDA managed factories. We spend more on processing of green leaf," Tiampati added.

He said to cut the cost of production KTDA was introducing dual-purpose boilers that use furnace oil and wood fuel.

"Factories are encouraged to start hydro electric projects to over reliance on the national grid whose cost per unit has doubled in the past one year," said Tiampati.

Other reforms

He said KTDA had initiated hydroelectric projects in two factories in Meru and Nyeri.

Feasibility studies, he said, were being conducted at Itare River in Bureti District for a similar project.

He urged farmers to plant trees so that they could sell wood to the agency and diversify their revenue base.

Tiampati said Kenyan tea was facing stiff competition from India, China, and Vietnam in the national market.

"In an effort to consolidate our hold on the world market as a leader in production of quality tea, we have started processing orthodox tea that is in high demand in Iran," said Tiampati.

He said a one-line orthodox tea processing facility had been installed at Kangaita KTDA Factory to meet the increasing demand.

Real Estate
Sustaining single-digit mortgage amid tough economic conditions
Business
Directors wrangles to cost tea farmers Sh560m in lawyers bills
Business
Premium Civil servants face the axe as Ruto seeks to ease ballooning wage bill
Real Estate
Premium End of an era: Hilton finally up for sale, taking with it nostalgic city memories