Murang’a Tea Farmers Reject Proposed Export Levy

Tea farmers in Murang’a County have raised objections to a proposed 0.8 percent levy on tea exports, warning that it could make Kenyan tea less competitive in the global market.

According to the farmers, the additional charge would increase export costs, potentially making tea from other producing countries more attractive to international buyers.

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The proposed Tea Levy Regulations, 2026, aim to introduce a levy equivalent to 0.8 percent of the tea’s auction value or customs value for direct exports.

Growers argue that the added cost could eventually be transferred along the supply chain, resulting in lower earnings for farmers who are already grappling with increasing production expenses.

They further caution that higher export charges could weaken Kenya’s standing in the international tea trade by making locally produced tea more expensive than competing products from other regions.

If adopted, the levy is expected to generate approximately Sh1.4 billion annually, with the funds earmarked for tea sector development initiatives such as market expansion, research, quality control, and infrastructure improvement.

Despite these plans, farmers are calling on the government to identify alternative ways of financing the sector without increasing export costs or reducing returns to growers.

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