KENYA -Kenyan tea producers have urged the government to negotiate bilateral agreements with key markets like Egypt and Russia, specifically lowering import duties to boost Kenyan tea exports in the coming years.
The call comes in response to the latest tea industry performance report, revealing that Pakistan, Egypt, UAE, UK, Yemen, Russia, Sudan, Poland, and Afghanistan are the major importers of Kenyan tea.
Chege Kirundi, a national board member of the Kenya Tea Development Agency (KTDA), representing Zone 3 catchment, emphasizes the need for government intervention in negotiating lower duties with these importing countries.
“The negotiations will be impactful because it will mean exporting tea at a lower duty, resulting in a multiplication effect in the tea trade,” says Mr. Kirundi, also the chairman of Kiru Tea Factory Company Limited.
This appeal for government action aims to secure better market access for Kenyan tea, ensuring that the industry remains robust and competitive on the global stage.
Mr. Kirundi encourages patience among farmers as agricultural sub-sector reforms are underway, assuring them of a bright future with ongoing diversification efforts.
Building on the diversification narrative, Kenya Tea Development Agency-managed factories are strategically transitioning to processing orthodox tea to enhance product variety and increase farmers’ income.
Orthodox tea, processed through a delicate method of rolling and drying whole leaves, is gaining traction in the international market due to its higher quality compared to the locally consumed black Cut Tear and Curl (CTC) tea.
Recently, Agnes Munene, a production manager at Gitugi Tea Factory, highlighted the success of orthodox tea in the global market, with factories reaping billions of shillings from its sale.
“One kilogram of orthodox tea was sold at Kes675(US$4)) while the same quantity of the CTC tea was sold at Kes420. Orthodox tea which was sold in small quantity gave us a lot of money and we are planning to increase the volume,” she said.
She urged citizens to adopt orthodox tea for its quality and potential health benefits. To facilitate production and processing of orthodox tea, KTDA has allocated Kes130M (US$840,500) to fund the construction of specialty tea processing plants in Kiambu County.
Last year, KTDA requested a Kes800 million (US$5172307) grant from the government to expand its production lines for high-value specialty tea following a surge in the international market.
The agency reported that it had already received six-month upfront orders for specialty tea from international buyers as the popularity continues to grow globally.
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