Last month, the smallholder tea factories at KTDA simultaneously announced their second payment rates, unlike in the past when it was staggered over two weeks.
The hidden story was what it had cost farmers to make the announcement simultaneously. Whereas part of the announcements would be made after meetings in factory boardrooms or zonal offices, this year the East of the Rift Valley zone directors retreated to tourist hotels in Naivasha for four days.
All this happened in a year when farmers earned some of the lowest rates since 2020.
While it is a worry to the farmers, it is this carefree spending inspiring many directors to protect their seats by any means. Directors' expenses have risen rapidly in recent years. A look at the financial statements of a few companies gives a clear picture.
Mataara Tea Factory in Thika reported a turnover of Sh1.2 billion in 2025, down from Sh1 .6 billion in 2024. But directors’ fees, expenses and trainings/education tours was over Sh24 million and Sh21.7 million in the two years respectively.
Neighbouring Ngere Tea Factory, with Sh3.3 billion turnover in 2024 and Sh3.1 billion in 2025 spent Sh19.1 million and Sh23.3 million, respectively, to care for its directors. This curiously included over Sh1.1 million each year for managing agents' meetings. In both years, Mataara spent over Sh6.1…
