Kenya is reviewing taxes and levies on tea production after industry executives and farmers said the charges were putting them at a competitive disadvantage.
Producers of Kenya's No. 1 export earner complain about a 1 per cent levy on tea sold at a weekly auction in Mombasa and a 16 per cent value added tax on tea processed and consumed locally.
The East African nation is the world's leading exporter of black tea, a crop that offers a livelihood to thousands of small-scale growers who complain not enough cash reaches them.
Kenya earned Ksh125.25 billion ($1.24 billion) from tea exports last year on output of 399.21 million kg. A slightly stronger shilling means officials expect earnings to slip to Ksh115 billion to Ksh120 billion this year. Read more. Source | East African