KTDA Fertilizer Imports Clock Ksh. 9bn

The Kenya Tea Development Authority (KTDA) has imported a Sh9 billion shipment of fertilizer that will benefit the country’s 650,000 tea farmers who own 54 factories. 

The Port of Mombasa received a ship carrying 47,000 tonnes of fertilizer (820,000 50kg bags) on Saturday, and a second ship carrying 41,000 tonnes was anticipated last evening.

“There was shortage of NPK fertiliser, which is specialised for tea, ahead of planting season set for September,” said KTDA chairman David Ichoho.

According to him, the KTDA has urged the government to subsidize the fertilizer and is hopeful that the funds will be released. 

A 50 kg bag of fertilizer costs Sh4,200 locally, driven up by rising international prices. This represents a 54% increase over the prior season. It will cost about Sh3,500 per bag after subsidies. 

In order to shield farmers’ income from low prices and high production costs, tea reforms introduced subsidies. Through the Ministry of Agriculture, the tea agency imports the fertilizer from Europe, mainly Russia.

According to a contract between KTDA and Kenya Railways, the fertilizer will be transported from the port to other areas of the country via the standard gauge railway (SGR). The two organizations agreed to transport tea from Nairobi to the port of Mombasa for export last year in order to reduce transportation costs. 

Although prices at the Mombasa Tea Auction continue to be low, the country’s high cost of producing tea remains a significant problem.