Fintrac Harvest Fall/Winter 2008

Fintrac builds new tea tree industry for Kenyan farmers

NAIROBI – Fintrac, through the Kenya Horticultural Development Program (KHDP) and in partnership with Earthoil, created a completely new value chain by introducing 500 smallholder farmers to tea tree (Melaleuca alternifolia) production.

Growers in Naro Moro, a small town in the foothills of Mount Kenya, planted 1.4 million trees in 2007 and have started selling their harvests. Earthoil Kenya Ltd. is buying the tea tree leaves to extract the oil and sell to Body Shop International to use in its line of tea tree products.

Fintrac is providing technical support in production, group development and certification and Earthoil established a steam distillation unit and demonstration farm and both continue to work to improve yields to meet demand and earn more for the Naro Moro growers.

With recent harvests, the Naro Moro growers, many of whom survive on less than two dollars a day, are starting to see the value of growing tea trees. The growers sell their tree leaves to Earthoil and can use the wood for fire and for trellises in horticulture production.

“The goal is to establish an entirely new industry in Kenya,” said Wayne Barratt, Earthoil’s director of global operations.

Barratt said current yields are 200 kilograms per quarter acre but Fintrac and Earthoil are expecting yields to increase to 800 to 1,000 kilograms per quarter acre as the Naro Moro growers continue to improve production.

The Body Shop, a L’Oreal subsidiary, has given Earthoil and the Naro Moro growers a seven-year contract. The extraction process is well underway and Earthoil is pleased with the high quality oil being produced.

One farmer, using just a quarter acre, recently harvested and sold 1,400 kilograms of leaves to Earthoil and farmers in the area took notice. Earthoil can extract 1 kilogram of oil from 90 kilograms of leaves.

“Farmers are more positive about it. If you look after your crop with watering and attention to detail it makes a big difference.” Barratt said.

Fintrac and Earthoil continue to sponsor farmer training days to help growers realize potential yields and profits. The project is expected to generate $1,300 per year for individual tea tree growers.

“We’ve got a lot of work to do,” Barratt said. “I think it’s an industry that’s going to grow. It’s still in its infancy, but we’ll get there.”