Kenya’s tea industry has recorded a strong recovery, posting Ksh 218.79Billion in total marketed value in 2025, driven by reforms, market expansion, and a renewed focus on higher farmer earnings and global competitiveness.
Speaking at Rukuriri Tea Factory in Embu County during the release of the 2025 Tea Industry Performance Report, the Agriculture Cabinet Secretary (CS) Mutahi Kagwe said the sector is firmly back on a growth path despite global economic shocks.
He noted that the performance reflects deliberate reforms, expanded markets, and a shift toward quality and value addition.
“Even amid global disruptions, the sector registered growth across key areas. Export earnings rose to Ksh 186.91 Billion, while export volumes reached 652.8Million kilograms. Domestic sales also increased to Ksh 19.13Billion, contributing to an overall rise in total value compared to both 2024 and 2023.” Report reads in part
The report further stated that Kenya has also expanded its global footprint, reaching 100 international markets, up from 96 the previous year, with growth being recorded in traditional markets such as Pakistan and Egypt, while newer destinations including Oman, Ireland, Japan, and Kazakhstan showed significant increases, highlighting an aggressive diversification strategy.
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CS Kagwe also revealed that, following a difficult 2024 marked by oversupply and depressed prices, the government has shifted focus from volume-driven exports to quality, value addition, and market segmentation.
In line with this, CS Kagwe announced new regulations aimed at strengthening the sector through enhanced traceability, accountability, and compliance, while also addressing long-standing challenges such as exploitation by middlemen and low-quality imports.
He noted that a 0.8% export levy has been introduced to support marketing, research, infrastructure, and regulation, alongside a 100% levy on imported tea to protect local producers. The CS emphasized that these measures will not burden farmers.
At the same time, the Tea Board of Kenya is set to launch a B2B e-commerce platform to directly connect producers with global buyers, as the country deepens trade ties under frameworks such as AfCFTA and new bilateral partnerships.
The reforms are geared toward increasing smallholder earnings from Ksh 59 per kilogram in 2022 to Ksh 100 per kilogram by 2027, benefiting over 834,000 farmers and millions of Kenyans who depend on the tea value chain.
Overall, the 2025 report signals not just a recovery, but a structural shift toward a more competitive, value-driven, and globally recognized tea industry.
By Juma Ndigo
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