Monthly auction price of tea per kilogram in Kenya 2019-2021

The auction price of tea in Kenya dropped to 1.82 U.S. dollars per kilogram in June 2021. Within the period in analysis, tea auction recorded monthly fluctuations in prices, with a kilogram selling at an average of 2.39 U.S. dollars in May 2019, the highest value observed. Kenya is among the world’s largest tea exporters, and this commodity plays a key role in the Kenyan economy.

 Tea trade 

  Tea is a leading trade item in Kenya and, together with coffee, mate, and spices, makes up 24 percent of the country’s exports. As of June 2021, Kenya exported some 44 thousand metric tons of tea, which corresponded to an export value of 9.5 billion Kenyan shillings (approximately 86.2 million U.S. dollars). Pakistan was the main destination for Kenya’s tea, accounting for nearly 35 percent of the exports. Other key buyers of Kenyan tea were Egypt, the United Arab Emirates, and the United Kingdom.

Large tea production

  Long and sunny days, associated with deep reddish soil, make the perfect conditions to produce tea in Kenya. The country ranks third among the largest tea producers in the world, only behind China and Sri Lanka. In 2020, over 570 thousand metric tons of tea were produced in Kenyan farms, mostly by small and local farmers.