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Report: Kenyan tea value rose to Sh218bn in 2025

Workers at Empire Kenya tea packing the product for auction and export.

Photo credit: Laban Walloga | Nation Media Group

Kenya's tea industry has recorded significant growth, emerging from years of uncertainty to post a market value of Sh218.79 billion in the last financial year.

The growth has been attributed to aggressive marketing strategies and government-backed reforms, which have expanded Kenya’s global market footprint from 96 to 100 export markets.

According to the Tea Industry Performance Report by the Tea Board of Kenya (TBK) released on Thursday, the sector’s export earnings surged to Sh186.91 billion in 2025, up from Sh181.69 billion in 2024, a 2.87 percent increase representing Sh5.22 billion in additional revenue.

Export volumes also rose to 652.80 million kilogrammes (kgs), up 9.81 percent from 594.50 million kgs in 2024, an increase of 58.3 million kgs.

Domestic sales grew by 6 percent to Sh19.13 billion while the total marketed value of tea increased by 2 percent, from Sh215.21 billion in 2024 to Sh218.79 billion in 2025.

The 700,000 small-scale growers contributed 272.77 million kgs, estates produced 135.5 million kgs, independent producers 138.818 million kgs, while government-owned Nyayo Tea Zones contributed 4.24 million kgs.

This performance comes as a relief to stakeholders after poor results in 2023 and 2024 which led to a market glut of over 100 million metric tonnes at the Mombasa Tea Auction, causing depressed prices.

Agriculture Cabinet Secretary Mutahi Kagwe said the industry was on an upward trajectory and urged farmers to focus on best agronomic practices, including quality plucking of two leaves and a bud, to sustain export growth.

He spoke in Embu’s Rukuriri tea factory while releasing the report on Thursday.

“This performance is not accidental but the result of deliberate reforms, market expansion and a renewed focus on quality and value addition under the Bottom-Up Economic Transformation Agenda,” CS Kagwe said, flanked by Tea Board of Kenya CEO Willy Mutai.

The CS highlighted that traditional markets such as Pakistan and Egypt recorded steady growth while re-export destinations including UAE and Oman saw a record 320 percent increase in volumes.

Emerging markets also recorded high uptake, with Ireland rising 454 percent, Japan 287 percent, and Kazakhstan 186 percent.

“For too long, Kenya has produced some of the best tea in the world but invested too little in marketing it. That changes from now,” CS Kagwe said.

Egypt led demand with 90.70 million kgs (13.9 percent of total exports), with the top 10 markets accounting for 81.5 percent of exported volumes. Other top markets included the UK (56.38 million kgs, 8.6pc), UAE (32.54 million kgs, 5pc), Russia (27.44 million kgs, 4.2pc), Kazakhstan (24.44 million kgs, 3.7pc), Iran (20.04 million kgs, 3.1), Oman (17.76 million kgs, 2.7pc), India (16.05 million kgs, 2.5pc) and Poland (11.41 million kgs, 1.7pc).

Value-added tea exports reached 25.36 million kgs to 70 markets, with the top five destinations accounting for 74.7 percent of sales.

The TBK is set to launch an e-commerce B2B marketplace, linking global buyers directly to local producers. CS Kagwe noted that Kenya is also deepening trade diplomacy through initiatives such as the African Continental Free Trade Area (AfCFTA) and expanding bilateral trade with countries like Algeria and Morocco.

Legal frameworks

In addition, the CS has signed two transformative legal frameworks, the Tea (Registration and Licensing) Regulations, 2026, and the Tea (Levy) Regulations, 2026, introducing traceability, accountability, and mandatory registration for farmers, factories, and exporters.

The laws target long-standing issues such as green leaf hawking, exploitation by middlemen, delays in leaf collection, and falsification of weighments at buying centres.

A 0.8 percent export levy has been introduced to fund global marketing, branding, research and development, infrastructure, and industry oversight.

Additionally, a 100 percent levy on imported tea has been implemented to protect local producers.

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