Govt Releases Sh2 Billion to Refund Smallholder Tea Farmers for Fertilizer Costs

NAIROBI, Kenya – The government has disbursed Ksh.2 billion to the Kenya Tea Development Agency (KTDA) to reimburse smallholder tea farmers for fertilizer expenses under the ongoing subsidy program.

Agriculture Principal Secretary Dr. Paul Rono made the announcement in Kericho, revealing that the refunds, originally scheduled for January 5, will now be paid earlier alongside November green leaf payments.

“The government remains committed to revitalizing the tea sector, a critical pillar of the economy that contributed Ksh.210 billion to the GDP last year,” Dr. Rono emphasized.

Tea farmers, many of whom rely on subsidies to offset rising production costs, are expected to benefit significantly from the refunds as global input prices continue to strain their earnings.

During the same event, Kericho Governor Dr. Erick Mutai called for the creation of a local tea auction.

He argued that such an initiative would cut logistics expenses and improve market access, enabling farmers to maximize profits.