Farmers plucking coffee at a farm in kirinyaga. [photo / hivisasa ]
The Kenyan government will soon amend laws to compel the coffee and tea cooperatives to process at least 50 per cent of the local produce before exporting it in a move that could see the farmers earnings increase.
According permanent secretary for ministry of industry and Trade Adan Mohamed, the campaign will see the ministry work closely with local organisations that are already in the value addition process in order to assist them upscale their processing capacities.
He added that their push for fresh value addition will see the local processors get an array of tax incentives as the new products will be attracting premium prices at the international markets.
“The government is looking to amend laws and policies governing agricultural commodities mainly coffee and tea to enhance value addition and attract premium prices at the international markets,” said Adan Mohamed.
Kenya is one of the net importers of Arabica coffee to international markets but has since been missing out on the added value as it has been exporting majority of its produce as raw beans with only five per cent of export being roasted locally.
Latest data from the Kenya national bureau of statistics (KNBS) had put the Kenyan earnings on raw coffee beans export at Sh 21.4 billion while the tea earned the country Sh 124.5 billion in exports in the quarter of 2017/2018.