This archive report was first published on 4 August 2020.
Published on August 4, 2020, Kenya's tea earnings took a hit in the first half of the year, dropping by Sh5 billion.
The decline in earnings was attributed to low demand for tea in the global market, which negatively impacted the price per kilo. According to data from the Tea Directorate, the value of tea exports dropped to Sh55 billion from Sh60 billion in the same period last year.
The Tea Directorate also reported a decline in the volume of tea exported to the world market, with a drop of two million kilos in the six months to June, representing a one per cent decline.
"Access to most markets is still a challenge due to the impact of Covid-19 on commodity distribution and trading across the globe," said the Tea Directorate.
"Apart from supply disruption, the pandemic has also created global economic shocks thereby reducing consumer purchasing power," added the regulator.
Export to Kenya's two major markets of Pakistan and Egypt dropped by five per cent to each of the destinations. Pakistan, which has been Kenya's top buyer of the commodity for years, accounted for 32 per cent of the total volumes that were exported in the review period.
