KTDA Releases Sh21.5b ‘Tea Bonus’ To Farmers. Cash To Reflect In Accounts Next Week

NAIROBI, Kenya, Oct 27- Kenya Tea Development Agency Management Services Limited (KTDA-MS) has released Sh21.57 billion, this amount being the second payment to farmers for the financial year ended June 30, 2021.

Farmers can expect the funds to reflect in their bank accounts by the end of this week.

This second payment, popularly known as bonus, has been released following the conclusion of meetings by factory directors from the 54 KTDA-managed factories that were held between 20th September and 1st October to review the audited 12-month accounts of their factories and declare the second payment rate.

Commenting on the development, KTDA Holdings Limited Chairman, David Ichoho, said that Sh600 per 50 kg bag of fertilizer will be reflected in the payment in a bid to pass on the Sh1 billion fertilizer subsidy by the Government directly to the farmers.

He further said that the Board and Management are working in ensuring that the farmers get optimal benefit from the tea business, urging farmers to re-invest their net earnings in increasing farm production quality to make their business more sustainable.

The Chairman thanked President Uhuru Kenyatta for the support he and his administration have accorded smallholder tea farmers, adding that KTDA will continue working with the Government and other stakeholders in improving net earnings for the farmers

The KTDA-managed factories are already enjoying higher tea prices at the auction following the introduction of the minimum reserve price. This is expected to translate to higher earnings next year.