Hundreds of coffee farmers from 76 cooperative factories in Kirinyaga County took to the streets of Kerugoya town on Thursday, staging spirited demonstrations in protest of proposed coffee exchange fees that they claim threaten their livelihoods and the stability of their cooperative system.
The protests came shortly after Kerugoya High Court Judge Edward Muriithi extended a conservatory order halting the enforcement of the Capital Market (Coffee Exchange) (Fees) Regulations of 2024. The judge pushed the effective suspension of the regulations to July 28, 2025, following a formal application by the Co-operative Bank of Kenya, which sought to be enjoined in the ongoing case.
The order, originally issued on February 19, 2025, was filed jointly by the Kirinyaga Slopes Coffee Brokerage Company and the Kirinyaga County Co-operative Union. The two entities sought judicial intervention to prevent the Capital Markets Authority (CMA) and the Competition Authority of Kenya (CAK) from implementing the new regulations, which they argue are punitive and could cripple small-scale farmers financially.
Reacting to the court’s decision to extend the stay order, visibly frustrated farmers gathered in large numbers within and outside the Kerugoya High Court precincts, hoping for a positive outcome. However, when it became clear that the controversial fee regulations were only temporarily frozen and not struck down entirely, the farmers’ frustrations boiled over.
Led by cooperative officials and vocal members of their societies, the farmers marched through the streets of Kerugoya, chanting anti-government slogans and singing protest songs. Their main grievance centered on what they described as the government’s attempt to impose a fee structure that would weaken cooperative societies, ultimately disadvantaging smallholder coffee growers who rely on collective bargaining power to earn sustainable incomes from their crops.
They further expressed dismay at the silence and inaction of local elected leaders, accusing them of turning a blind eye to the challenges currently facing coffee farmers. Many held placards demanding immediate action and policy reversal, calling on the government to abandon the new regulations, which they claimed would further erode the gains made in Kenya’s liberalized coffee sector.
Later in the day, the protestors marched to the Kirinyaga County Commissioner’s office, where they were received by Kirinyaga Central Sub-County Deputy County Commissioner Josephine Mwengi. Mwengi assured the farmers that their grievances had been heard and urged them to remain calm and allow the legal process to take its course. She also encouraged them to disperse peacefully, pledging to forward their concerns to the relevant government agencies.
The contentious regulations, introduced by the Capital Markets Authority, were meant to streamline and regulate the licensing and operation of coffee exchange brokers and other stakeholders within the value chain. However, stakeholders in Kirinyaga — a county known for producing some of Kenya’s highest quality coffee — argue that the fees introduced are disproportionate and would increase costs for farmers already struggling with rising production expenses and fluctuating global prices.
The legal challenge has since drawn the attention of national institutions like the Co-operative Bank of Kenya, whose involvement suggests the broader financial sector is closely monitoring the dispute due to its potential impact on cooperative societies and the agribusiness economy.
As the country awaits the court’s final ruling on July 28, the standoff underscores the ongoing tensions between government regulatory agencies and grassroots producers over the future of Kenya’s coffee industry — an industry that has historically been a key pillar of rural livelihoods and national export revenue.
