Kapkoros Tea Factory has agreed to separate from its two subsidiaries, Motigo and Olenguruone Tea Factories, ending a prolonged dispute. The resolution was reached during a meeting convened by Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe on Tuesday, marking a new chapter for the formerly affiliated factories.
Farmers from Motigo and Olenguruone had boycotted plucking and delivering green leaf to Kapkoros, demanding financial and operational autonomy. Their push for independence gained traction after a December 2023 vote, which was later approved in Kapkoros’ Annual General Meeting and backed by its board in January 2024.
Kagwe emphasized fairness in the separation process, directing all parties to cease hostilities and withdraw pending petitions and court cases. “Farmers must resume plucking and delivering green leaf to their respective factories immediately,” he stated, underscoring the need for normal operations to resume.
The agreement also ensures the continuation of smart card issuance for farmers, a key component in streamlining tea deliveries and payments. Additionally, Kamogoso Tea Factory, which manages Tirgaga Tea Factory, will receive government-backed support to modernize aging facilities and improve efficiency.
Kagwe further urged directors and the Kenya Tea Development Agency (KTDA) to address high production costs and enhance tea quality across all four factories in Bomet County. In a stern warning, he threatened to revoke licenses of factories engaging in green leaf hawking, citing compliance with the Tea Act, 2020.
The resolution brings relief to farmers and stakeholders, fostering hope for improved profitability and governance. As Motigo and Olenguruone embark on independent operations, the focus shifts to sustainable growth and competitiveness in Kenya’s vital tea industry.
