Kenya Scraps Tea Packaging Taxes in Shocking Move to Boost Farmer Profits!

The Ministry of Agriculture has just dropped a game-changing announcement that could shake up Kenya’s tea industry forever: all taxes on tea packaging materials have been eliminated—effective immediately!
This stunning move is expected to slash production costs, unlock new value addition opportunities, and make Kenya’s beloved tea cheaper both locally and globally. Agriculture Cabinet Secretary Mutahi Kagwe, speaking in Kericho, confirmed that this jaw-dropping decision is part of a radical push to resuscitate the ailing tea sector and ensure farmers start seeing real money in their pockets.
“This isn’t just about packaging,” Kagwe emphasized. “It’s about revolutionizing the industry, turbocharging farmer earnings, and grabbing a bigger share of the international market with high-quality Kenyan tea.”
The news broke during a high-stakes meeting with smallholder tea factory leaders under KTDA, where Kagwe pulled no punches. He declared that Kenya is done playing small—every single one of the 142 tea factories across the country will soon be licensed to sell directly to international buyers.

And the government isn’t stopping there.
Kagwe also unveiled a bold new plan to dispatch trained agripreneurs to farms across the country. Their mission? To educate farmers face-to-face on soil health, smarter crop management, and sustainable techniques that turn tea into gold—figuratively and almost literally.
With Kenyan tea reaching 96 countries in 2024 and raking in an astronomical Sh215 billion, the government is now doubling down. Top markets like Pakistan, Egypt, the UK, UAE, and Yemen accounted for a staggering 81% of the tea exports, and the CS says that’s just the beginning.
Kagwe’s message to farmers: “Focus on premium. Focus on profit.” The world wants top-notch Kenyan tea, and with taxes out of the way and new tools in hand, it’s go time.