Chege Kirundi elected as KTDA Holdings Chairman

KENYA – The Kenya Tea Development Agency (KTDA) Board has elected Mr. Chege Kirundi as the new National Chairman of KTDA Holdings, succeeding Mr. Enos Njeru. 

Eric Chepkwony retains his role as Vice Chairman.

Mr. Kirundi, representing Zone Three in Murang’a County, has played a pivotal role in driving reforms in Kenya’s tea sector, including his involvement in the enactment of the Tea Act 2020. He also chairs the Kiru Tea Factory Company PLC.

Seasoned legal expert

Mr. Kirundi brings a wealth of legal and professional expertise to the role. He holds a Bachelor of Laws degree from the University of Nairobi and a Diploma in Law from the Kenya School of Law. 

As an advocate of the High Court of Kenya, he is also a Notary Public, a Commissioner for Oaths, a Certified Public Secretary (CPS), a Fellow of the Chartered Institute of Arbitrators (FCIP), and a professional mediator. 

His career includes a stint as a State Counsel in the Attorney General’s Chambers before transitioning to private legal practice at Kirundi & Company Advocates.

KTDA’s role in the tea industry

KTDA is a private company owned by approximately 600,000 smallholder tea farmers across 16 tea-growing counties in Kenya. 

These farmers are shareholders in 54 tea companies that own KTDA Holdings and its nine subsidiary companies. 

The group manages 71 tea factories, including 17 satellite facilities, and provides value-added services through subsidiaries such as Chai Trading Company Limited, Kenya Tea Packers Limited, and KTDA Power Company Limited.

Established in 1964, KTDA has been instrumental in managing smallholder tea farms, taking over from multinational companies and bolstering the sector’s growth. 

Today, tea remains one of Kenya’s leading foreign exchange earners, accounting for about 23% of total foreign exchange revenue and 2% of agricultural GDP.

Industry challenges

The KTDA Board has raised concerns over government interference and policy changes that it claims have adversely impacted the tea sector. 

These include the Ministry of Agriculture’s removal of reserve tea prices at the Mombasa Tea Auction, which the board alleges has led to declining prices and reduced farmer earnings.

Additionally, the board has criticized unilateral decisions, such as separating satellite factories from mother factories, accusing Agriculture Principal Secretary Kiprono Ronoh of overlooking farmers’ interests.

Tea export growth

Despite these challenges, the tea sector has recorded robust growth. In the first ten months of 2024, Kenya’s tea export volumes surged by 20.8% to 500.8 million kilograms, up from 414.5 million kilograms during the same period in 2023. 

Export revenues also rose to KES 155 billion (US$1.19B), driven by strong demand in global markets.