Kenya Tea Development Agency signs agreement worth Sh3.5bn with Standard Chartered Bank

 

A new deal has been finally signed between the Kenya Tea Development Agency and Standard Chartered Bank Kenya Limited to ensure the buying of 95,000 metric tonnes of fertilizer, which will be distributed to the tea farmers across the country.

An Sh3.5 billion deal, which is part of Kenya Tea Development Agency’s fertilizer supply program for the farmers, will see over 650,000 farmers who own the 69 factories that Kenya Tea Development Agency manages to benefit from the supply of fertilizer through the arrangement. The move will assist farmers to access affordable fertilizer that will go towards improving the quality and yield of their tea, KTDA Group Chief Executive Officer, Lerionka Tiampati opined, as reported by Capital Digital Media.

“We are pleased to be signing this partnership with Standard Chartered Bank Kenya Limited as it will enable us to acquire fertilizer which we will be distributed to our farmers at the most competitive rates we can obtain. The fertilizer will assist farmers to improve the yield and quality of their green leaf. This fits well with our long-term strategic objective to continuously work towards providing smallholder tea farmers with a wide range of cost-effective solutions for their everyday farming requirements,” Tiampati said.

The Chief Executive Officer of Standard Chartered Bank Kenya Limited, Kariuki Ngari lauded the association with Kenya Tea Development Agency (KTDA) saying that the bank is proud to be supporting KTDA in this endeavour adding that the strategic partnership is in line with the bank’s objective of offering tailor-made solutions to its clients.

“We are delighted to be announcing this partnership with KTDA as it seeks to provide affordable fertilizer to its members. Tea is a key export sector that earns the country much needed foreign exchange. Standard Chartered Bank is therefore at the forefront of driving agriculture through corporates like KTDA and hence bringing prosperity to farmers,” Ngari added.

By adopting a similar strategy, KTDA procured and distributed fertilizer for farmers at Sh1,774 per 50 kilogram bag in the previous year against the prevailing market of Kshs 2700. Farmers will start getting the fertilizer from the end of July, with the quantity of fertilizer a farmer receives depending on the number of tea bushes owned. On average, a 50 kilogram bag of fertiliser is applied to 700 bushes.

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