Kagwe Orders Tea Factories to Reject Poor-Quality Leaf as Sh7.1B Upgrade Begins

Agriculture Cabinet Secretary Sen. Mutahi Kagwe has directed tea factories to reject green leaf that fails to meet the recommended “two leaves and a bud” standard as the government begins a Sh7.1 billion programme to modernise tea processing facilities across the country.

Kagwe said upgrading factory machinery alone would not improve the fortunes of tea farmers unless factories also received high-quality green leaf capable of producing tea that commands better prices in international markets.

The Cabinet Secretary spoke during a visit to Kapsara Tea Factory, where he handed over Sh44.6 million for the installation of a new withering plant. The equipment will replace aging machinery that consumes large amounts of electricity and contributes to high processing costs.

Kagwe said the modernisation programme is intended to create a stronger tea industry through efficient factories, improved leaf quality, higher-value orthodox and specialty teas, increased value addition and access to more international markets.

At Kapsara, the CS used samples of tea plucked from farms to demonstrate the difference between acceptable green leaf and material that should not be delivered to factories.

“If we have agreed that quality tea is two leaves and a bud, then that is what must come to the factory,” Kagwe said. He warned that mixing poor-quality leaf with high-quality material reduces the value of the final product and ultimately affects payments to farmers.

The Cabinet Secretary said the directive should not be viewed as a punishment for growers. Instead, he said, it is intended to establish a stronger quality culture that can raise the international value of Kenyan tea and improve farmers’ earnings and annual bonuses.

Kagwe cited Momul Tea Factory as an example of the potential benefits of better leaf quality. He said the factory had increased the value of its tea from about US$2 to more than US$3 per kilogram after improving the quality of green leaf supplied for processing.

He said the improvement demonstrated why farmers and factories should view tea quality in terms of the income it generates rather than simply the volume of leaf delivered.

The Sh7.1 billion modernisation programme will target aging factory machinery, energy efficiency and processing costs while supporting production of higher-value tea products. Kagwe said the government also wants factories to diversify beyond conventional black tea and pursue orthodox, specialty and value-added products that can attract premium prices.

The CS further called for aggressive market diversification, urging the tea industry to strengthen traditional export markets while developing new destinations for Kenyan tea.

He also defended the tea levy against political criticism, saying the charge is paid by buyers rather than farmers or tea factories. According to Kagwe, revenue from the levy will support price stabilisation, tea research, infrastructure, marketing, quality improvement, value addition and market development.

Kagwe said these investments are part of a broader strategy to make agriculture a stronger source of household wealth.

Kapsara Tea Factory management was directed to use the Sh44.6 million allocation strictly for the intended withering plant project. The government will also continue supporting farmer training and extension services as part of efforts to improve green leaf quality.

The government now expects the combination of modern processing equipment, better-quality leaf and expanded markets to help Kenyan tea compete more effectively internationally while delivering better returns to farmers.