Nairobi, May 15 -- The Kenya Tea Development Agency (KTDA) is building a new factory to process specialty tea as it moves to diversify and cut reliance on black tea that is grappling with subdued demand amid economic crises facing major buyers of the Kenyan beverage.

The Sh130 million plant in Kiambu County will bring to 16 the number of specialty factories that the agency owns across the country.

KTDA chairman David Ichoho said the new factory will play a key role in complementing the agency's income.

"This is part of our plans to diversify to other high-value tea amid the falling price of the black tea in the global market," said Mr Ichoho.

Last year, KTDA requested a Sh800 million grant from the government to expand its production ...