FARMKENYA INITIATIVE
News
By Boniface Gikandi | March 8th 2021 at 09:00:00 GMT +0300
A tea farmer affiliated to Gathuthi Tea Factory after delivering his produce at Ndugamano Tea Buying Collection Centre. Farmers earnings are set to increase following the review of their monthly payments. [Kibata Kihu, Standard]
Tea farmers affiliated to Kenya Tea Development Authority (KTDA) in the Mt Kenya region will get a payout of Sh21 per kilogramme of green leaf up from Sh16 that has been paid in the last three years.
Already factories in the east of Rift Valley have informed their growers of the new amount following the government directive that they get 50 per cent of their earnings on a monthly basis.
THE STANDARD By
Peter Kimanga |
January 29th 2021 at 00:00:00 GMT +0300
A tea farmer affiliated with Gathuthi Tea Factory delivers his produce at Ndugamano Tea Buying Collection Center. [Kibata Kihu, Standard]
Cabinet Secretary for Agriculture Peter Munya has said the government will zero-rate Value Added Tax on tea in order to boost value added exports as well as increase consumption of locally packed tea.
Though third in global tea production after China and India, Kenya leads in surplus tea exports to the world, sadly though, over 95 per cent of it is in bulk form.
This dismal value-addition is due to an unfavourable policy and tax regime, key being accessibility of tea by packers as they have to pay a refundable 16 per cent VAT upfront to access the tea, but which takes years to be refunded.