The Kenyan government has granted 142 tea factories the license to directly export their products to international markets. This transformative policy reform, announced by Agriculture Cabinet Secretary Mutahi Kagwe during International Tea Day celebrations at Gitugi Tea Factory in Nyeri County, aims to eliminate brokers and middlemen who have long dominated the tea trade.
Kagwe emphasized that the reforms are part of a broader strategy to enhance farmer earnings, strengthen governance in the tea sub-sector, and boost transparency within smallholder tea factories. “Our core focus remains ensuring better returns for farmers,” he said, underlining the government’s commitment to revamping the tea industry.
To support this new direction, Kagwe revealed plans to lead a high-level delegation to key international markets such as China, India, Russia, and the Middle East. The mission, which will include the Tea Board of Kenya, KTDA Holdings, and the East Africa Tea Trade Association, aims to promote Kenya’s renowned “Green Gold” and forge new trade partnerships.
In addition, the CS announced the launch of a dedicated orthodox tea auction window within the Integrated Tea Trading System (ITTS), set to go live in June 2025. Managed by the East Africa Tea Trade Association (EATTA) in partnership with the Tea Board of Kenya, this platform is expected to diversify Kenya’s tea exports and support a shift from conventional cut, tear, and curl (CTC) teas to premium orthodox varieties.
“Orthodox teas attract premium prices due to their artisanal production and unique flavor profiles,” noted Kagwe. “This initiative will help tea factories access specialised global markets and command higher returns.”
The reforms have been welcomed by farmers and industry stakeholders, who have long decried low returns caused by fluctuating auction prices and broker-controlled sales. Industry experts agree that direct market access will empower tea factories to negotiate better prices, secure long-term contracts, and build strong international brands.
With these sweeping changes, Kenya is positioning its tea sector for sustainable growth and enhanced global competitiveness.
