NAIROBI, Kenya, Oct 26 – The Ministry of Agriculture and Livestock Development has directed the Tea Board of Kenya to conduct a comprehensive audit of loans obtained by factories managed by the Kenya Tea Development Agency (KTDA).
In a letter to the board’s Chief Executive Officer Willy Mutai, Principal Secretary for Agriculture Dr. Kipronoh Ronoh said the move follows growing concerns from farmers over reduced bonus payments declared by KTDA-managed factories this financial year.
The ministry said the review will focus on the factories’ financial obligations and management practices.
The audit is expected to determine the total amount of loans borrowed by each factory, how the proceeds were used, the terms and conditions of the loans, and the current outstanding balances.
The findings will guide the ministry in assessing the financial sustainability of the factories and in developing measures to address challenges affecting the tea sector.
The Tea Board has been given 14 days to submit a detailed report to the ministry.
