Kenya’s smallholder tea farmers face a tough year ahead as rising fuel prices may squeeze earnings, the Kenya Tea Development Agency has warned.
KTDA national chairman Enos Njeru said the high fuel prices will negatively impact farmers’ bonuses and overall income in 2026.
He spoke on Wednesday during a labour management training being conducted by the Federation of Kenya Employers.
Njeru said the tea sector is already reeling from disruptions caused by the Middle East conflict.
“The conflict has disrupted key export routes, leading to shipping delays and higher freight and insurance costs,” he said.
Njeru said the fuel price hike will drive up the cost of fertiliser expected in June, since many fertiliser components are oil-based while global shipping rates remain elevated.
This comes at a time when the agricultural sector is under significant pressure.
KTDA Board vice chairman Samson Mosonik said labor remains the highest cost in tea production.
He called for efficient labour management to boost productivity and protect farmers’ earnings.
Njeru urged factory boards and management to implement immediate austerity measures to cut operational costs and cushion against the rising fuel prices and global disruptions.
He also appealed to the government to reduce taxes on tea, being one of the most heavily taxed crops.
Njeru also called for state interventions to support farmers amid the current economic challenges.
The warnings come amid a record fuel price increase announced this week by the Energy and Petroleum Regulatory Authority (EPRA), with super petrol and diesel nearly crossing the Sh200 per litre mark.
The Middle East tensions have further complicated export logistics for Kenya’s tea, a vital foreign exchange earner that supports over 700,000 smallholder farmers.
