Kenya to ban unprocessed tea export.
Kenya to ban unprocessed tea export; This was a statement by his excellency President Ruto, who expressed that it was illogical for Kenya to export 95% of its raw tea.
The president argued that by banning the raw tea export,It will boost revenue from agriculture, including livestock, cotton and other cash crops, by forcing producers to process the goods domestically.
The president said,”There is absolutely no reason why we are selling 95 per cent of our tea unprocessed in a space where we have a competitive advantage.”
“It is not going to be possible and practical for us to continue to export 95 per cent of our tea unprocessed,”Ruto added.
The commander in chief further stated that the government is willing to support any farmer who embraces the new initiative.
The president said,“I have already had a conversation with our tea marketers. I told them that if the government is required to invest in a common user facility so that we can add value to our tea, we will.”
According to statistics, Kenya’s 2021 tea export earnings rose by 13 per cent(Sh136 billion) compared to 2020.
The president said,”We are getting Sh120 billion (from tea earnings) now, but we can get Sh300-Sh400 billion by merely adding value… period!”
Commenting on the same was the Kenya manufacturers Association chairman, Rajan Shah, who stated that there are huge opportunities in value addition.
Rajan Shah commented,“For instance, if we increase our value addition from the tea sector from the current 3.7 per cent to 50 per cent, this would translate into 80,000 new jobs. On the other hand, 80 per cent value addition by 2025 on leather from the current three per cent would translate into 86,000 jobs.”
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