Alliance One to scale down operations in Kenya

Alliance One Tobacco Kenya has announced that it will begin to scale down its operations in Kenya, citing a slump in the leaf tobacco sector. As part of the scale-down process, the company will no longer sponsor tobacco farmers that have been growing leaf tobacco on a contract basis and will cease field operations beginning July 1.

Alliance One Tobacco Kenya’s managing director Francis Chege said the company “is proud to have been a part of the tobacco industry in Kenya for the past 25 years, but unfortunately customer demand for the Kenyan supply has declined, and the company has been forced to realign its operations to changing market conditions.”

The company will continue to maintain a small presence in Kenya through its processing base in Thika.