Woes of tea farmers in Meru county- They will receive lower bonus payment this year

Tea farming is big business in Meru county which is largely associated with cultivation of miraa. But just like the challenges facing Miraa farmers, tea farmers in Meru are experiencing their own unique difficulties this year (2013/2014)

A glut in the supply of tea in the global market has seen decline of tea prices and earnings by at least 20% during the first six months of this year. This trend has been disheartening to the small scale tea farmers across the country.

Last month, KTDA announced a full year tea bonus payment of 35.5 Billion Shillings for the year ended 30th June 2014. This payment is 30% below last year’s payout which stood at a record 51.3 Billion shillings. News of this reduced bonus payment has added to the frustrations of small scale tea farmers.

Reduced earnings for tea farmers have had a ripple effect on the Meru region’s economy. Small and large scale retailers are bearing the brunt of reduced consumer spending that has accompanied the falling tea earnings. Savings and Credit Cooperatives are also feeling the pinch of reduced tea earnings.

This unfortunate turn of events is worrying the Meru county government, especially considering that agriculture is the backbone of the county’s economy

Governor Peter Munya is skeptical that falling international tea prices are entirely to blame for the low earnings received by farmers this year. He said that poor management by KTDA should also be blamed.

“Counties must now start running their own tea sector without without the interference of other national organizations so that farmers can be able to market ans sell their own tea”. Says Munya. He added that counties can be able to manage their own running costs without the unnecessary bureaucracy that is rampant in KTDA that is controlled from Nairobi

KTDA is currently the sole marketing and management agent for all the country’s 600,000 small scale tea farmers