KTDA orders reversal of deductions erroneously effected

KTDA Holdings has ordered a reversal of deductions erroneously effected in March 2023 towards payments of fertiliser.

National Chairperson David Ichoho who was speaking during a consultative forum between KTDA Holdings and tea directors from 37 factories east of the Rift Valley noted that farmers will be reimbursed immediately.

Ichoho said the consultative meeting was a follow-up forum to come up with a harmonised draft for the management system as proposed by the tea act.

He observed that the proposals were diverse bearing in mind that factories were coming from different levels of liquidity in terms of development, infrastructure and sizes.

He explained that the essence was to ensure they bring the cost down, especially the management fee from 2.5 to about 1.5, that the staff are paid by the management agent and ensure provision of quality tea from all areas.

Ichoho revealed that the reforms have been experiencing challenges where parts of the act were challenged in court while appealing to those with court cases to withdraw them.

He noted that they will be seeking advice from the Attorney General adding that some clauses in the act require amendments.

100 million kilograms

He also revealed that farmers lost a 100 million kilograms of tea due to the climate change and drought that affected most parts with the first half of 2022.

He revealed that they will fast-track the issue of value addition and ensure more tea is sold as ordered by the President to upscale value addition from the current 5-50 percent.

To improve on sales he said factories will continue with reforms and invest more on orthodox tea which he said was in high demand.

To cut on the costs of production the chairman noted that factories were in the process of installing solar systems and working on hydro power generations.