Mombasa weekly tea auction fetches Sh1.4b for farmers

Small-holder tea growers affiliated with Kenya Tea Development Agency (KTDA) last week received Sh1.39 billion from the sale of 5.4 million kilogrammes (kgs) of tea at the Mombasa auction.  

The market report indicates the Mombasa facility auctioned a total of 12.3 million kgs, consisting of 10.2 million kgs from KTDA factories and independent tea producers.

Uganda sold 1.09 million kgs, Tanzania 73,496 kgs, Rwanda 860,188 kgs and Burundi 71,676 kgs.

Tea Brokers East Africa Ltd in a report, noted that Mununga, Gathuthi, Rukuriri, Kathangariri and Kimunye factories achieved the best prices of between Sh380 and Sh321 per kg sold at the auction.

.

Keep Reading

•  Kenya pulls plug on Sh301b IMF deal amid hunt for new bailoutPremium
•  Trump offers a flicker of hope for Kenya's oil projectPremium
•  Why dollar-denominated money market funds have set Kenya abuzzPremium
•  Kenya to seek a new IMF agreement
•  State now turns to KAA to fund new airport after Adani fallout

 The report indicates there were 59 buyers in the market. Murang’a Ngere tea factory sold 158,336 kgs earning Sh48.77 million, Njunu tea factory’s 93,469 kgs earned Sh28.04 million and Nduti Sh14.54 million.

Gacharage Tea sold tea worth Sh24.40 million. In the west of Rift, the Momul factory auctioned 75,908kg which earned it Sh20.27 million while Boito and Kobel sold their tea at the rate of Sh147 per kg and ranked the least.

Directors from Njunu Tea Factory  Maina Gathu and Isaac Muiruri said the factory was ranked in position 16 owing to the farmers' dedication in production of the quality green leaf.

“Our farmers are aware that only quality tea will earn them the best payment, thus the dedication throughout the year,” said  Maina, also the chairman at Njunu Tea Factory.

Ngere Tea Factory Chairman James Githinji said the directors are determined to improve production of the quality tea, thus visiting the growers in their electoral areas to ensure the farmers comply. “Agriculture extension officers also visit the farmers regularly as Ngere is deemed to give the best in the market,” said Mr Githinji.

KTDA Chairman Chege Kirundi appealed to farmers to continue producing the best quality tea if they are to get higher payments.

“The stakeholders should work to explore more tea markets to enable farmers to fetch better returns,” said Kirundi.

In the buyers’ category analysis, Global Tea bought 18,880 kgs, KTDA-owned Chai Trading 17,020 kgs, LAB International 15,060 kgs, Mitchell Cot 11,440 kgs, while Crown Gold Food procured 20kgs among others.