Nairobi, Kenya – (African Boulevard News) – Kenya’s tea producers are raising concerns over the competition they face from neighboring Tanzania, and are now urging the government to lend a helping hand to support the development of the local tea industry. The producers are specifically calling on the government to address the tax issues that hinder their competitiveness in the global market.
According to a recent report by Africa Intelligence, Kenya’s tea industry is at risk due to the growing strength of the Tanzanian tea sector. This has led to a decline in Kenya’s tea prices, affecting the livelihoods of the farmers and workers in the industry. The competition from Tanzania is primarily attributed to the tax incentives offered by the Tanzanian government to attract foreign investors, making it more attractive for international buyers.
In light of this, Kenyan tea producers are now demanding that the government intervene by providing tax relief and incentives to boost the local tea industry. They believe that by reducing taxes, the Kenyan tea sector will be able to compete more effectively with Tanzania and regain its footing in the global market.
“Kenya’s tea industry has always been at the forefront, but we are now facing tough competition from Tanzania. The government needs to step in and support us by addressing the tax issues that are affecting our competitiveness,” says John Kamau, a tea farmer based in Kericho.
Experts argue that the government’s intervention is crucial to safeguard the future of Kenya’s tea industry. They highlight the importance of creating a favorable business environment that encourages investment, stimulates growth, and ensures the sustainability of the sector.
“We need the government to address the tax issues that hinder our industry’s growth. By doing so, we can attract more investment, improve our processing capabilities, and expand our market reach,” explains Jane Wambui, CEO of the Kenya Tea Association.
The Kenyan government has acknowledged the concerns raised by the tea producers and has promised to take swift action. Although specific details of the proposed measures have not yet been released, the government has assured stakeholders that it is committed to supporting the tea industry’s development and ensuring its long-term prosperity.
In conclusion, Kenya’s tea producers are appealing to the government for assistance in addressing the tax issues that are impacting their competitiveness. With growing competition from Tanzania, it is crucial for the government to provide tax relief and incentives to boost the local tea industry. By doing so, Kenya can regain its position as a leading tea producer and secure the livelihoods of farmers and workers in the sector. The government’s intervention is seen as vital in creating an enabling environment for investment and ensuring the long-term sustainability of the tea industry.
