Tea farmers upbeat as weakening shilling, heavy rains bring better prices

After years of perpetual decline, tea prices are now picking up thanks to the ongoing heavy rains and the weakening value of the shilling.

Although tea producers say they are yet to get good prices from the country’s leading cash crop, what they earn currently is better compared to the previous seasons.

In Nandi County, producers say the current warm and rainy conditions are most favourable for tea as they improve the foliage and quality of green leaf.

“Farmers received top dress fertiliser in August. It is because of the fertiliser and the ongoing rains that production has greatly improved compared to the past few months,” said Mr John Tega, the chairman of Chebut and Kaptumo Kenya Tea Development Agency (KTDA) factories.

Tega said green leaf supplies to the two factories have increased since the onset of the current rains.

“There has been a gradual increment of green leaf supplies for crushing at the double line Kaptumo factory from the initial average of 30,000kgs to the current average of about 45,000kgs daily. Chebut, a three line factory that used to receive an average of 40,000kgs has recorded improved deliveries averaging between 55,000kgs to 60,000kgs daily,” he told Smart Harvest.

Tega, who is also the North Nandi Division KTDA director, said tea farmers are fetching better returns for the current production levels. KTDA had recently declared improved rates in second payment (bonus).

Farmers in Nandi, Tega said, received Sh19.20 per kg of green leaf in second payment compared to Sh10.10 per kg in 2014. This reflects in increment of about 90 per cent in earnings.

He reminded local farmers that they are shareholders of the KTDA factories and urged them to protect them by supplying their produce to the plants. “Farmers built these factories and they should protect them through supplies,” he said.

Prices at the Mombasa tea auction, which has been favoured by the strength of the dollar, is giving a renewed hope to farmers who had lost confidence in the cash crop.

Producers have in the last few years decried dwindling earnings with some farmers in Nandi County even contemplating uprooting the crop to create room for alternative agricultural ventures that generate better income.

There have also been concerns that climate change has brought a lot of unpredictability in the region, bringing with it dry and cold weather patterns that has reduced tea volumes.

Nandi County is one of the leading producers of tea, an agricultural sub-sector that is also a source of employment to thousands of workers.

In Mosop, where there is still adequate land, farmers are expanding their tea farms.

Mr Wilson Tuwei, the chairman of small scale tea out growers, told Smart Harvest the prevailing conditions are “very conducive” for tea production.

Tuwei said the industry is recording gradual improvement in production and the quality of green leaf tea is good.

“The effects of the subsidised fertiliser are now seen through improved production,” Tuwei told Smart Harvest.

He however expressed fear that with the increased production, tea factories may face challenges of handling the bulk supplies by farmers.

Paul Tiony, a tea farmer who supplies his produce to multinational tea companies, said the quality of green leaf is at its best and described the current prices as ‘slight improvement’ compared to the last season’s.

“It is the foreign exchange rates that have motivated the improvement in tea prices and we do not know how long these effects will last. Tea prices are now better compared to the same season last year,” said Tiony.