Tea farmers affiliated with Kenya Tea Development Agency (KTDA) Holdings Ltd will earn Sh585 million as their dividends for their full-year crop delivery, the Agency announced on Monday.
The dividend payment is based on the green leaf delivered for the 2021/2022 financial year ended June 30, 2022, and is payable to farmers through their factories, which are the 54 corporate shareholders of KTDA Holdings Ltd.
“The dividends are derived from the profits made by KTDA Holdings and its subsidiary, which include KTDA MS, KTDA Power, Majani insurance brokers, Greenland Fedha, Chai Trading, and Warehousing, TEMEC, and KETEPA,’’ stated the agency.
Partnership seeks to empower small-scale farmers with irrigation technology
The funds, alongside the May 2023 green leaf payment, are expected to reflect on farmers’ bank accounts on Thursday 8th, June 2023.
Early monthly payment to farmers is part of the ongoing reforms in the tea sector seeking to benefit both the sector and the individual farmer.
KTDA promised farmers that they would receive their pay by the 5th of every month, a promise that the agency has dutifully kept. The agency has also initiated efforts to improve operational efficiencies.
These include investment in small hydropower stations for cheaper power supply, diversification to orthodox teas to reduce reliance on Black crush, tear, curl (CTC) teas, and training of farmers on income diversification and management.
