The debate over the proposed Agricultural Produce Levy in the Kiambu County Finance Bill 2026/2027 has gathered momentum, with Governor Kimani Wamatangi convening a consultative meeting with the leadership of six tea factories in the county, days after Gabriel Kagombe publicly opposed the proposed tax.
The meeting brought together directors, managers and the company secretary representing the six Kenya Tea Development Agency-managed tea factories in Kiambu—Kambaa, Kagwe, Gachege, Mataara, Ndarugu and Theta. Discussions centred on challenges facing the tea sector and strategies to strengthen the industry with the aim of improving returns for tea farmers.
Governor Wamatangi said the engagement was part of the county government’s broader efforts to work closely with key agricultural stakeholders to address sector-specific challenges and identify opportunities for growth. He noted that enhancing productivity and increasing farmers’ earnings remain key priorities for his administration.
The meeting comes amid growing concerns over the proposed Agricultural Produce Levy, which has drawn criticism from some political leaders and farmers who fear it could increase the cost of doing business in the agricultural sector.
Last month, Gatundu South MP Gabriel Kagombe strongly opposed the proposed levy, arguing that farmers are already struggling with rising production costs and should not be subjected to additional taxation without corresponding improvements in infrastructure and support services.
The legislator maintained that Kiambu County had not invested sufficiently in critical agricultural infrastructure, particularly road networks that farmers rely on to transport their produce to markets and processing factories.
“Our farmers are already burdened by the high cost of production. Introducing another levy without corresponding investment in agricultural infrastructure is both unfair and unjustifiable,” Kagombe said.
He further argued that tea farmers and other agricultural producers require policies that reduce the cost of farming, improve profitability and stimulate growth rather than measures that diminish their incomes.
Kagombe pledged to continue championing the interests of farmers, insisting that agriculture remains the backbone of the country’s economy and that producers deserve policies that encourage investment and productivity instead of additional financial burdens.
Although Governor Wamatangi did not directly address the concerns raised over the proposed levy during the meeting, his engagement with KTDA leadership signals the county government’s intention to maintain dialogue with stakeholders as discussions on the Finance Bill continue.
The outcome of the consultations is expected to shape future engagements between the county government, tea factory leadership and farmers as debate over the proposed levy continues, with stakeholders keen to ensure that any policy changes support the sustainability and competitiveness of Kiambu’s tea industry while safeguarding farmers’ livelihoods.
