Push for law to facilitate county branding of products

Counties have an opportunity to improve their own source revenue if a law is enacted to facilitate the branding of products according to their origin or communities.

Findings from an ongoing partnership between Equity Group, Murang’a County and the French Embassy have identified this gap, which partly limits how the devolved units, especially those known for agricultural produce, can brand themselves in the global space.

To this end, the findings propose that a law should be enacted to facilitate branding of products according to their origin, which will give devolved units access to the international markets.

The findings are drawn from the tripartite partnership where Murang’a County Government seeks to brand tea from the devolved unit as Murang’a Tea.

This type of trademarking is known as Geographical Indications (GI). It is meant to endear a product to consumers who will develop or already have a liking for the region.

The idea of Murang’a Tea GI initiative, the findings state, seeks to replicate the economic and branding success of products like French Champagne by securing higher prices and fostering farmer ownership through geographical branding.

“This endeavour promises substantial increases in farmer earnings and enhanced global market access, though its success hinges on establishing a robust, controlled production ecosystem and a clear, dedicated legal framework for GIs in Kenya,” the report says.

It says the global prestige and premium pricing commanded by French Champagne are deeply rooted in a stringent Geographical Indication system.

It states that champagne success is not merely about its geographical origin but stems from a meticulously controlled production ecosystem.

“This includes strict adherence to specific grape types, meticulous vineyard practices, defined grape-pressing methods, secondary fermentation within the bottle, and controlled ageing processes,” the report says.

The report notes that Murang’a County harbours a similar ambition to brand its tea for the global market using Geographical Indications.

“The objective is to ensure Murang’a tea retains its unique identity in international markets and commands higher prices, thereby replicating the unique value and price differentiation observed in luxury products such as a Rolex watch compared to a standard timepiece,” the report says.

It adds that for Murang’a to achieve Champagne-like prestige and pricing, simply branding tea as Murang’a Tea through a GI designation is insufficient.

If this initiative is to replicate the same success, there needs to be standardisation across its 10 factories and 85,000 farmers, and a strong, unified governance structure to enforce these standards and protect the brand’s integrity.

“This comprehensive approach, extending beyond mere intellectual property protection, is essential for building a quality assurance and brand management ecosystem that can genuinely elevate Murang’a tea to a premium global status,” the report says.

Equity Group’s role in the initiative is to assist tea factories in the expansion of their production lines to produce quality teas, helping to cut energy costs, and facilitating investments in green energy solutions.

Murang’a County Government, led by Governor Irungu Kangata, is the primary promoter of this initiative, while the French Embassy offers technical expertise and facilitates the exchange of ideas and experiences.

The project’s initial phase is strategically focused on capacity building on GIs, which includes the implementation of a pilot GI in the Murang’a tea value chain.

The report says Equity Group has affirmed its full commitment to this collaborative journey. “Beyond the GI framework, Equity Bank is also actively supporting tea factories by aiding in the expansion of their production lines, enhancing tea quality, reducing energy costs, and facilitating investments in green energy solutions,” the report says.

During the Murang'a Investment Conference last month, Equity Group chief executive James Mwangi made a compelling call to action, urging investors to unlock the county’s immense potential as Kenya’s next industrial hub.

He emphasised that Murang’a’s transformation reflects the broader promise of Kenya and the African continent.

“Murang’a is rich, resilient, and ready for transformation,” said Mwangi, underscoring the county’s readiness for industrial take-off.

He made a robust investment case for Murang’a, citing a unique blend of competitive advantages. He attributed the county’s investor-friendly environment to its visionary leadership and unity of purpose by county leadership and the Council of Eminent Persons, which plays an advisory role to the governor.

Murang’a's strategic infrastructure and logistical advantage further position it as a natural industrial hub. Located less than an hour from Nairobi via the Thika Superhighway, the county offers seamless access to Kenya’s largest urban market.

Its network of tarmacked roads links rural farms to processing hubs, while proximity to rail and air transport enhances connectivity to both regional and international markets.

“Murang’a's agricultural strength gives it a natural edge in industrialisation. The county leads in tea and avocado production and ranks second nationally in macadamia and coffee, all with high export and value addition potential,” said Mwangi.

He illustrated the economic loss in Kenya’s raw export model. “A kilo of raw tea leaves earns a farmer about Sh75, but when processed into 10-gramme sachets, it can fetch over Sh156,000 in global markets. Why do we allow Sh155,925 in value to slip away? Imagine the tax potential if that wealth remained within our economy.”

The French Embassy is leveraging its diplomatic ties to facilitate global marketing efforts, promote Kenyan products abroad, and establish direct connections between Kenyan producers and French buyers.

The implementation of GI for Murang’a tea is poised to deliver a multitude of benefits, according to the report, among them increased farmers’ earnings by up to five times.

Others are global recognition, traceability, farmers' ownership of their brands and fostering diaspora engagement.

The report says that for the long-term viability and success of initiatives like Murang’a tea GI, a dedicated GI legal framework is imperative. “Stakeholders, including Governor Kang’ata, have acknowledged that the journey will likely necessitate Parliament to pass new laws,” it says.

“A single, comprehensive law is required to provide clarity, effectively address emerging GI issues, and ensure robust protection against misappropriation.”

This legal framework, the report adds, is not merely about compliance but represents a strategic necessity to secure intellectual property, attract investment by providing clear legal certainty, and prevent dilution or misappropriation of the Murang’a tea brand.

This then ensures its premium market position is legally defensible and its communal benefits are adequately protected. “The governor has explicitly stated that the journey will necessitate Parliament to pass new, comprehensive GI laws. Additionally, intensive training for farmers is required to ensure they effectively embrace their role as custodians of quality,” the report says.