State explores new markets to grow tea exports
Business
By
Boniface Gikandi
| Oct 27, 2024
Tea worth Sh2.24 billion weighing 155.09 million kilogrammes was exported to the international market between July and September 2024, up from 120.24 million kgs in the same period last year.
In a quarterly report, the Tea Board of Kenya (TBK) revealed that during the period, 8.54 million kgs were sold locally, higher than the previous year's 8.49 million kgs.
TBK Chief Executive Willy Mutai said the earnings were higher on account of more imports by markets owing to gains arising out of the depreciation of the shilling against the US dollar.
The regulator urged factories to embrace the production of quality tea through the green leaf quality assessment programme.
“In the duration, we conducted a blind tasting of the teas produced by all the factories, ranked the teas according to the quality and put the lowest ranked factories under the strategic quality improvement programme,” read part of the report.
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The regulator has also devised a five-year strategy to mitigate against the effects of overreliance on Pakistan and Egypt as the key markets for Kenya tea.
The absorption of Kenya tea has been affected by the economic recession faced in the key markets in Pakistan and Egypt as well as the internal conflict in Sudan and the economic sanctions
The report states that a five-year strategy will expand the market focusing on 13 emerging markets - US and Canada, Germany and Poland, Saudi Arabia, UAE, Iran, Iraq, Turkey, Japan and China (Asia) and South Africa and Ghana.
Meanwhile, KTDA-managed factories have been placed on alert to maintain green leaf quality to enable sustain and expand the market.
Also, the private factories in the west of the rift are on the spot towards improvement of the quality. The board led by its Chairman Enos Njeru urged directors to ensure green leaf quality is maintained as a way to attract buyers.
Speaking to The Standard, Mr Njeru said there is a policy that requires the players in the tea value chain to observe quality.
“TBK, Ministry of Agriculture, tea factories and agents are all under instruction to ensure the quality of the commodity destined for the market,” said Njeru.