UGANDA – Uganda’s tea prices at the Mombasa Tea Auction have seen a significant improvement, surpassing the US$1 mark, according to Tea Brokers East Africa.
The average price has risen to US$1.14 per kilogram, providing hope for the country’s tea industry, which has struggled with prolonged low prices.
Uganda Tea Association board chairperson Victoria Ashabahebwa welcomed the price increase, calling it a positive development for tea farmers and factory owners.
“It’s certainly a moment of optimism for the Uganda tea industry. The rebound of tea prices at the Mombasa Auction, crossing the US$1 mark, is a positive development,” Ashabahebwa stated.
The price increase offers relief to an industry still recovering from financial strain. Many tea factories have yet to adjust farm-gate prices for green-leaf tea, leaving farmers with only marginal increases.
By the end of 2024, some regions saw price adjustments of just Sh50 per kilogram, which remains insufficient given production costs.
In Tooro sub-region, home to some of Uganda’s oldest tea plantations, farmers have abandoned their gardens due to high production costs. However, uprooting mature tea plants remains prohibitively expensive, making replanting or crop conversion difficult.
Ashabahebwa noted that the improving quality of Ugandan tea is gaining recognition in the global market, a factor contributing to the price recovery.
Uganda’s tea prices hit an all-time low of US$0.66 per kilogram in 2023 before climbing to US$0.85 per kilogram by the end of 2024. The latest auction (sale 05 of 2025) reflects a more stable market outlook, she added.
Despite this progress, Uganda still trails regional competitors. Kenyan tea averages US$2.18 per kilogram, while Rwanda’s premium teas command approximately US$2.92 per kilogram.
Tea experts argue that structural challenges continue to limit Uganda’s full potential in the sector.
Tea farmer John Nuwagira encouraged fellow farmers to maintain quality standards while awaiting government support.
“As we wait for the government’s response, let’s do what is within our means, such as plucking tea according to recommended standards,” he advised.
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