Kimunye tea factory falls within KTDA administrative Region 3 and is situated in Gichugu Division, Kirinyaga District of Central Province approximately 154Km from Nairobi city and 18Km from Kerugoya town. Its Location is 0º 25' 31.9" South of the equator and 37º 18' 32.2" East of the Meridian at a height of 1820M above sea level. The factory maintains a tree nursery to enhance afforestation in the community around the factory, offers assistance through contributions to the needy e.g. children’s homes, participates and provides host to other bodies running the community based HIV/AIDS control and prevention as our social responsibility.
Its construction was done between the years 1975 to 1979 when it was commissioned. The factory occupies an area approximately 12Ha of land. It serves 7302 growers in 43 collection centres all coded. The area under tea is 1477.14Ha. Clones of tea grown in the catchment are 6/8, 31/8, 12/2, BB35 & 303/557
- Kerugoya – Kutus.
- Kutus – Kianyaga.
- Gakoigo – Ithareini – Kabare – Mukarara – Gatugura – Kimunye
- Rukenya – kabare –Mukarara – Gatugura – Kimunye
The nearest and greatest natural features are the Mt. Kenya and Mt. Kenya forest. The factory is also served by two rivers namely Kiringa and Thiba rivers.
The climate is cool with a maximum temperature of 28°C, minimum 15°C. Cumulative rainfall is over 2000mm per year. Soils are volcanic and slightly acidic with a pH of 5-6.
ISO 9001: 2000 certified.
Good tea husbandry, farm management & plucking standards, proper green leaf handling storage and transport, accurately controlled processing and quality assurance, high quality food grade packaging and timely delivery of our high quality product to the market.
FACTORY BEST KNOWN FOR:
Consistent high quality teas all round the year that meets our customer’s expectations.
CHAIRMAN’S REPORT FOR THE YEAR ENDED 30 JUNE 2012
I hereby submit the report on the performance of the company during the financial year ending 30th June. 2012.
Crop production for the year was higher than that of last year. 18,489,821 kilogram's of Green Leaf were delivered for processing at the company's factory. Out of this throughput of 4,326,299 kilograms of tea was made. These throughput and output were higher than last year's levels of 16,017,997 kilogram's and 3,811,334 kilogram's by 2,471,824 kilogram's and 514,965 kilogram's respectively. This achievement was at a conversion factor of 23.40% which is equivalent to 4.27 Kg of Green Leaf to make one kilograms of Made Tea. Last year the conversion factor was
equivalent to 23.79%which was equivalent to 4.2 kgs of green leaf to make one kilograms of Made Tea
There was an increase in tea prices during the year. The average price realized per kilograms of made tea sold was Kshs. 293.02. This compares favorably with the price of Ksh. 263.93 in 2011.The prices therefore increased by Kshs. 29.09 per kilograms of sold tea. This year's price of one kilograms of made tea sold is equivalent to Kshs. 68.57per kg of green leaf compared to last year's price of one kilogram of made tea which was equivalent to Kshs 62.79 per Kg of green leaf.
The manufacturing costs increased during the year. The average manufacturing cost for the year was Ksh.75.48 for every kilogram of made tea against the average manufacturing cost of Kshs. 70.57 per kg for last year. There was an increase in the manufacturing cost by Kshs. 4.91 per
every kilogram. This manufacturing cost includes monthly green leaf payment at Kshs. 53.21 per kg of made tea for the year which is higher than Kshs. 50.43 per kg for last year. This year's manufacturing cost was equivalent to Ksh.17.66 per kilograms of green Leaf as Compared to previous year when the cost averaged at Ksh 16.79 per kilogram of green leaf.
GREENLEAF PAYMENT AND DIVIDENDS
The company was able to pay Kshs. 1,005,237,682 for green leaf delivered. This payment is higher than last year payment of kshs 811,364,194The Company managed to pay an advance or first payment of Kshs 12.00 from July to March and 14.00 from April to June per kg of green leaf delivered which is equivalent to Ksh 53.21 per kg of made tea. The Company's Board of Directors further recommends a payment of dividend of 5% be paid as first and final dividend to all Class "B" shareholders appearing in the Company's share register as at 30th June, 2012. A total sum of Kshs. 4,795,118 is payable to all shareholders of the Company by way of dividends.
The company has continued to progress both in her short term and long-term cost control strategies. We strongly believe that our survival and growth greatly depends on measures we put in place to reduce leaf collection and manufacturing costs. The following are some of the major achievements of the year under review:
i. The Company has continued to partner with other neighboring factory companies in the process of constructing small hydro power projects which will generate power and reduce on electricity cost. Phase I of the project ie; Nyamindi river project is still ongoing and phase two of Kiringa river project is under negotiation.
ii. The company has in earnest continued to develop the entire 360 acres of firewood land in Mbere by planting more trees and putting in place associated infrastructure and it is expected that the whole farm acreage will be put under tree plantation before the end of the next financial year. Similarly the company will continue to seek and identify suitable parcels of land for tree planting in order to come closer to the recommended area of 620 acres under fuel wood.
iii. Having acquired a new lorry truck for the tea cess roads project the company will continue to upgrade roads in the factory’s catchment, hence enhancing leaf collection speed and efficiency. Better roads will also translate to lower fleet maintenance costs and better driving conditions for our drivers.
iv. Significant progress continues to be made in laying strategies for machinery modernization in line with the company’s strategic plan and future needs. This will enhance our production capacities, service delivery to farmers and efficiency of operations while lowering costs. During the year under review the company managed to install Woodpac boiler and drier and preliminary survey is underway in the next financial year to expand the factory withering section.
While we acknowledge the challenges the tea industry is facing mainly due to oversupply of tea in the world market, and the ever rising cost of production, we must not relent as aforementioned in devising strategies and measures geared at enhancing efficiency of processes all meant to
counter the above challenges and hence guarantee maximum returns to farmers.
VOTE OF THANKS
On behalf of the board of Directors, I wish to hereby express my thanks and appreciation to the staff of the company, shareholders and growers who supplied green Leaf to the company for their good work which has contributed to the success of the company during the year under review.
RIPOTI YA MWENYEKITI YA MWAKA ULIOMALIZIKA 30 JUNI 2012
Ningetaka kuwatangazia matokeo ya hesabu na taarifa ya mwaka kwa kipindi kilichomalizika tarehe 30 Juni, 2012.
MAVUNO YA CHAI
Mavuno ya Chai katika mwaka yalizidi yale ya mwaka uliotangulia. Kilo 18,489,821 za majani chai zilipelekwa kutengenezwa katika kiwanda cha Kampuni. Kutokana na kiasi hiki cha chai, kilo 4,326,299, za chai iliyotengenezwa zilipatikana. Kiasi hiki kilikuwa juu ya kile cha mwaka uliotangulia ambacho kilikuwa kilo 16,017,997 za majani mabichi ya chai na kilo 3,811,334 za chai iliyotengenezwa na tofauti ikawa kilo 2,471,824 za majani mabichi na kilo 514,965 za chai iliyotengenezwa.Mapato haya kwa kibadilisho cha asilmia 23.40 ni sawa na kilo 4.27 za majani mabichi ambayo yanatoa kilo moja ya chai iliyotengenezwa.Mapato ya mwaka uliopita yalikuwa kwa kibadilisho cha asilimia 23.79 na ilikuwa sawa na kilo 4.2 za majani mabichi ya chai ambayo yanatoa kilo moja ya chai iliyotengenezwa.
BEI YA CHAI
Bei ya chai ilipanda katika mwaka. Bei wastani ya chai iliyopatikana kwa kila kilo moja ya chai iliyouzwa ilikuwa Shilingi 293.02. Bei hii ilikuwa juu ikilinganishwa na bei ya mwaka uliotangulia ya Shilingi 263.93 Kwa hivyo Kampuni ilikuwa na tofauti katika hizo bei ya Shilingi 29.09 kwa kila kilo moja ya chai iliyouzwa. Bei ya chai iliyotengenezwa na kuuzwa katika mwaka ni sawa na Shilingi 68.57 kwa kila kilo moja ya majani mabichi na vile vile , bei ya mwaka uliotangulia ilikuwa sawa na Shilingi 62.79kwa kila kilo moja ya majani mabichi ya chai.
GHARAMA YA UTENGENEZAJI
Gharama ya utengenezaji ilipanda katika mwaka na ilikuwa Shilingi 75.48 kwa kila kilo moja ya chai iliyotengenezwa. Gharama wastani ya mwaka uliotangulia ilikuwa Shilingi 70.57 na kwa hivyo tofauti ikawa Shilingi 4.91 kwa wastani wa kila kilo moja ya chai iliyotengenezwa.Gharama ya utengenezaji imejumuishwa na ile ya malipo ya majani chai kwa mwezi ya Shilingi 53.21 kwa kila kilo moja ya chai iliyotengenezwa yenye ilikua juu ikilinganishwa na ile ya mwaka uliotangulia ya Shilingi 50.43 kwa kila kilo moja ya chai iliyotengenezwa. Gharama ya utengenezaji katika mwaka ilikuwa sawa na Shilingi 17.66 kwa kila kilo moja ya majani mabichi, na vile vile, gharama ya mwaka uliotangulia ilikuwa sawa na Shilingi 16.79 kwa kila kilo moja ya majani mabichi.
MALIPO YA MAJANI CHAI NA MGAO
Kampuni iliweza kulipa malipo kwa wakulima ya Shilingi 1,005,237,682 kwa majani chai ambayo yalipelekwa Kiwandani.Malipo haya yalizidi yale ya mwaka jana yaliyokuwa Shilingi 811,364,194.Kampuni iliweza kulipa malipo ya kwanza kwa Shilingi 12.00 kutoka Julai hadi machi na 14.00 kutoka mwezi Aprili hadi Juni kwa kilo moja ya majani mabichi ambayo ni sawa na Shilingi 53.21 kwa kila kilo moja ya chai iliyotengenezwa. Baraza la Wakurugenzi lilipendekeza malipo ya asilimia 5 yalipwe kama malipo ya mwisho ya mgao kwa wanahisa wote wa Class "B" waliokuwa katika rejista ya wanahisa ya kampuni mnamo tarehe 30 Juni, 2012. Jumla ya Kshs 4,795,118 zitalipwa wanahisa zikiwa mgao.
Kampuni imefanya juhudi ya kuweka mipangilio kabambe ya kubadirisha hiki kiwanda kulingana na mitindo ya kisasa na zile za kupunguza gharama za utengenezaji.Lazima tukumbuke ya kwamba kunawili kwa hii kampuni siku za usoni kutategemea sana mipangilio ya mambo inayochukuliwa wakati huu.
(i) Kampuni, inaendelea kushirikiana na kampuni zingine katika eneo hili,ili kuanzisha miradi ya kuzalisha nguvu za umeme ambayo ikikamilika itapunguza gharama ya stima. Awamu ya kwanza tayari ina tekelezwa na awamu ya pili ya mto kiringa mazungumuzo yameanzishwa pamonja na wenye mashaba.
(ii) Kampuni inaendelea kwa hali ya juu upandaji wa miti katika shamba la mbere la ekali mia tatu na sitini na vile vile kuweka miundo msingi husika ili kuhakikisha ya kwamba shamba lote litakuwa limepandwa miti kufikia mwisho wa mwaka ujao. Vile vile Kampuni itaendeleza juhudi zake za kutafuta na kutambua mashamba ya upandaji miti ili kufikia malengo yake ya ekari mia sita na ishirini.
(iii) Kampuni imenunua lori aina ya tipa kwa mradi wa kodi ya majani chai na kwa hivyo itaendelea kuboresha hali ya barabara ili kulahizisha uchukuzi wa majani chai mabichi kwa haraka na kupunguza gharama ya uchukuzi.
(iv) Vile vile kampuni itaendelea kuweka hatua kababe za kuboresha mashine na,mitambo kulingana na sera na mipangilio ya kampuni na mahitaji yake ya baadaye.Hii itaboresha kwa njia kumbwa utenda kazi na utoaji wa huduma bora kwa wakulima kwa gharama ya chini.Baadhi ya mipangilio ambayo kampuni imefanya ni kuweka machine ya boiler na machine ya kukausha majani yenye kutumia teknologia ya kisasa. Mwaka ujao kampuni inafanya utafiti ili kubaini uwezekano wa kupanua kiwanda katika sehehu ya kukausha majani mbichi.
Lazima tukumbuke ya kwamba biashara ya majani chai inakumbwa na matatizo kadhaa kutokana na ongezeko ya chai katika soko za kimataifa na pia kupanda kwa gharama ya utengenezaji. Kushugulikia haya matatizo, lazima kampuni iweke mipangilio maalum ili kuhakikisha uendelezaji mbele wa hii kampuni. Kwa kufanya hivyo nina uhakika ya kwamba hii kampuni itaendelea kufaidi wakulima wa majani chai sasa na pia siku za usoni.
Kwa niaba ya Baraza la Wakurugenzi, ningetaka kuwatolea shukrani wafanyi kazi wote wa Kampuni, wanahisa na wakulima wote waliopeleka majani mabichi ya chai katika Kampuni kwa kazi yao iliyowezesha Kampuni kufanikiwa katika mwaka tunaoangazia.
BENSON M NJUU (MWENYEKITI)