The Kenya Tea Development Agency (KTDA) has cancelled its international tender for the supply of nearly two million bags of NPK fertiliser. The tender, which was advertised by KTDA Management Services (KTDA MS), was aimed at prequalifying firms to supply 1,997,500 bags of NPK fertiliser, specifically the NPK 26:5:5 variety in 50kg bags, intended for smallholder tea farmers across the country.
KTDA, through its subsidiary KTDA MS, is responsible for importing and distributing fertiliser to tea farmers, ensuring they receive the necessary supplies to boost production. The fertiliser in question amounted to approximately 99,875 metric tonnes, and firms were required to submit technical proposals by February 4, 2025. Bidders had been expected to pay a registration fee of Sh6,000 before being allowed to submit their bids, and the tender opening was to be conducted virtually.
However, on Thursday, KTDA halted the tender process, raising questions about the timing of the cancellation. The agency has yet to provide specific reasons for the cancellation, but it has been suggested that the move could be linked to ongoing controversies surrounding the pricing of fertiliser supplied to tea farmers.
In October 2024, KTDA caused a stir when it raised the price of fertiliser from Sh2,500 per 50kg bag to Sh3,400, despite the government’s subsidy program aimed at reducing costs. This move attracted significant public outcry, with concerns that it would burden smallholder farmers who are already struggling with rising input costs.
In response to the backlash, KTDA’s CEO Wilson Muthaura issued a clarification, stating that the fertiliser would be supplied to farmers at the government-recommended price of Sh2,500 per 50kg bag while the Ministry of Agriculture processed subsidy payments. Despite this reassurance, the pricing issue has cast a shadow over KTDA’s management of the fertiliser supply chain.
The cancellation of the fertiliser tender raises further questions about KTDA’s plans to secure the much-needed supplies for farmers. With the fertiliser’s role in supporting Kenya’s tea industry—one of the country’s key export sectors—undoubtedly crucial, it remains to be seen how the agency will navigate the situation and restore confidence among smallholder farmers.
As of now, KTDA has emphasized that only prequalified firms will be invited to submit financial bids, but the agency’s decision on the prequalification process remains final.
