Tea farmers across Kenya have a reason to smile this week as the Kenya Tea Development Agency (KTDA) announces the release of 2024 financial year dividends. In a statement issued on Monday, May 5, KTDA confirmed that the long-awaited payouts will be disbursed to its 54 corporate member tea factory companies by Thursday, May 8, 2025. The announcement comes as a relief to thousands of smallholder farmers who have been eagerly awaiting their share of the profits after a strong financial year.
According to KTDA, the dividend payments will be sent to the factory companies—its corporate shareholders—which will then decide how to utilize the funds. “The respective factory boards will thereafter resolve on the utilisation of the dividends,” the statement read. This structure gives autonomy to local factory boards to either distribute the funds directly to farmers or reinvest them in facility upgrades, equipment, or community projects, depending on local priorities.
The dividends are derived from the performance of KTDA’s eight subsidiaries, which provide services across the tea value chain including tea trading, power generation, insurance, microfinance, packaging, logistics, engineering, and management. The combined performance of these subsidiaries in 2024 has allowed KTDA to generate strong returns, now being shared with factory shareholders—essentially the farmers themselves.
This week’s payout follows a record-breaking announcement in December 2024, when KTDA declared a Ksh1.04 billion dividend for the year ending June 30, the highest in the agency’s history. The agency’s revenue for the financial year jumped to Ksh89.21 billion, a significant leap from the previous year’s Ksh68.22 billion, signaling improved efficiency and stronger global tea prices. The improved returns also reflect the rising demand for Kenya’s tea, especially premium orthodox varieties.
For farmers in the Rift Valley, where tea farming is a cornerstone of rural livelihoods, this news brings not just financial reward but renewed confidence in the cooperative model. As The Rift continues to cover the economic heartbeat of our region, the KTDA dividend release highlights the importance of governance, transparency, and reinvestment in agricultural success stories that directly uplift our communities.
