Epsilon Archive for Student Projects

Abstract

This study critically examines the role of small-scale tea farmer-owned organizations in poverty reduction and sustainable agriculture in Kenya’s tea sector, following the implementation of the Tea Act, 2020. The Act aimed to empower farmers by improving governance, enhancing representation, and promoting equitable participation through provisions such as the ‘one grower, one vote’ principle. Using a qualitative case study approach, the research compares two institutional models: Kenya Tea Development Agency (KTDA)-managed factories, which are directly regulated by the Tea Act, and independent cooperatives under Fintea Union, specifically Ainamoi Cooperative, which operates through internal governance and market-based standards.
Data was collected through 23 in-depth interviews, 2 focus group discussions, and key informant interviews with cooperative and government officials. Thematic and comparative analyses were conducted using theoretical lenses drawn from Agency Theory, Institutional Theory, Participatory Governance Theory, and the Sustainable Livelihoods Framework.
Findings reveal that while the Tea Act has improved procedural inclusivity within KTDA-managed factories, structural power imbalances and weak implementation continue to limit farmer influence and accountability. In contrast, Ainamoi Cooperative demonstrates stronger democratic governance, timely and reliable payments, access to affordable credit, and inclusive community development initiatives leading to greater farmer empowerment, income diversification, and environmental stewardship.
The study concludes that policy reforms alone are insufficient to transform smallholder livelihoods without internal institutional commitment to participatory governance and sustainable practices. Strengthening farmer-owned organizations through capacity building, transparent leadership, and supportive partnerships is essential for realizing the full potential of the Act in advancing rural development and climate-resilient agriculture in Kenya and to entire global south.