KENYA TEA INDUSTRY PERFORMANCE HIGHLIGHTS FOR

MAY  2019

PRODUCTION

Tea production for the month of May 2019 decreased to 37.75 Million Kgs compared to 43.35 Million Kgs recorded during the corresponding month of 2018. Lower production was attributed to less precipitation recorded in the tea growing regions particularly in the West of Rift, consequent to which the region’s output declined from 28.03 Million Kgs to 23.41 Million Kgs. Production within the East of Rift decreased marginally from 15.32 Million Kgs to 14.34 Million Kgs. Notably, owing to improved wet weather conditions experienced in all tea growing areas, production for the month of May was however higher than that of April 2019, which stood at 26.13 Million Kgs. Across the sub-sectors, production within the Smallholder sub-sector recorded a marginal decline from 25.23 Million Kgs to 22.95 Million Kgs while that of the Plantation sub-sector decreased from 18.11 Million Kgs 14.79 Million Kgs.

Cumulative production for the first five months (Jan-May) of the year was 9.% lower at 170.18 Million Kgs against 187.69 Million Kgs recorded during the corresponding period of 2018 owing to severe hot and dry weather conditions and late onset of the Long rains experienced during the first quarter of the year as well as depressed rainfall conditions during the month of April and May.

Table 1: Production by Sub-Sector and Region (2019 vis-à-vis 2018)

Sector Region May  2019 May 2018 Variance +/- Var.(%) Jan – May 2019 Jan – May 2018 Variance +/- Var.(%)
Plantation West of Rift              14,020,340              16,720,598 – 2,700,258 -16.15%                   63,167,137                  70,615,942 – 7,448,805 -10.55%
East of Rift                    779,394                  1,397,931 – 618,537 -44.25%                     5,419,770                    5,858,362   – 438,592 -7.49%
Total     14,799,734       18,118,529 –  3,318,795 -18.32%       68,586,907       76,474,304 –   7,887,397 -10.31%
Smallholder West of Rift                 9,395,155               11,309,403     – 1,914,248 -16.93%                  42,710,064                  49,461,037   – 6,750,973 -13.65%
East of Rift              13,563,752              13,927,860    – 364,108 -2.61%                 58,886,224                  61,760,697   – 2,874,473 -4.65%
Total     22,958,907     25,237,263 –  2,278,356 -9.03%      101,596,288        111,221,734 –   9,625,446 -8.65%
   
Plantation & West of Rift              23,415,495              28,030,001     – 4,614,506 -16.46%                105,877,201               120,076,979   – 14,199,778 -11.83%
Smallholder East of Rift               14,343,146               15,325,791    – 982,645 -6.41%                 64,305,994                  67,619,059 – 3,313,065 -4.90%
Total     37,758,641     43,355,792 –   5,597,151 -12.91%       170,183,195      187,696,038 –  17,512,843 -9.33%

TEA SALES

AUCTION

During the month of May, 18.37 Million kgs of Kenyan tea was sold through Mombasa Auction against 30.83 Million kgs recorded in same period of last year. The average tea auction prices for Kenyan tea for the month USD 2.39 per Kg which was lower compared to 2.61 recorded in May 2018.

The Average Auction price for the period January- May 2019 stood at USD 2.25 per Kg compared to 2.80 per kg for the same period of last year. Lower prices to-date this year was attributed to reduced trading activities at the Auction owing to uncertainities in certain key markets occasioned by political and economic instability.

EXPORTS

The total export volume for the month of May 2019 was 39.16 Million Kgs compared to 43.18 Million Kgs recorded same period of last year, representing a 9% decrease. During the month, Kenya tea was shipped to forty six (46) export destinations compared to fifty five (55) destinations for the same period of last year. Amongst these markets, Pakistan was the leading export destination for Kenyan tea having imported 13.82 Million Kgs, accounting for 35% of the total export volume. Other key export destinations for Kenyan tea were Egypt (8.22 Million Kgs), UK (2.65 Million Kgs), UAE (2.28 Million Kgs), Sudan (1.65 Million Kgs), Russia (1.31 Million Kgs), Afghanistan (1.29 Million Kgs), Yemen (1.29 Million Kgs), Iran (0.82 Million kgs) and Poland (0.54 Million Kgs).

Amongst the emerging markets that recorded significantly higher tea imports from Kenya included Switzerland, India, Netherlands, Jordan,Bangladesh, China, Canada and Oman.

The total export volume for the period January-May 2019 stood at 220.28 Million Kgs compared to 195.73 Million Kgs recorded same period of last year.

LOCAL SALES

Local tea Sales for May 2019 stood at 3.04 Million Kgs against 3.19 Million Kgs for the corresponding period of 2018 while cumulative tea sales for the first five months period upto May 2019 was 14.57 Million Kgs against 12.74 Million Kgs for the same period of last year.

27th JUNE, 2019

Table 3: Kenya Tea Exports by Destination (May 2019 vis-à-vis May 2018)

DESTINATION 2019 – QUANTITY KGS 2018 – QUANTITY KGS QUANTITY DIFF %AGE VARIANCE
PAKISTAN                                        13,824,860                                       14,646,623 –                       821,763 -6%
EGYPT                                          8,223,924                                           6,196,716                     2,027,208 33%
UK                                           2,659,751                                          4,512,573 –                   1,852,822 -41%
UAE                                          2,282,730                                           3,541,516 –                   1,258,786 -36%
SUDAN                                           1,654,520                                          1,785,620 –                         131,100 -7%
RUSSIA                                            1,317,769                                         2,007,495 –                      689,726 -34%
AFGHANISTAN                                           1,299,440                                            1,009,211                          290,229 29%
YEMEN                                           1,299,375                                          1,496,280 –                       196,905 -13%
IRAN                                               826,390                                             426,266                           400,124 94%
POLAND                                                549,108                                              316,940                           232,168 73%
KAZAKHSTAN                                               509,435                                             797,035 –                      287,600 -36%
SWIITZERLAND                                               484,636                                             330,297                           154,339 47%
INDIA                                                416,390                                              172,936                          243,454 141%
SAUDI ARABIA                                               379,974                                             857,828 –                      477,854 -56%
NETHERLANDS                                                369,716                                                174,116                           195,600 112%
JORDAN                                               325,500                                              198,927                           126,573 64%
SOMALIA                                                317,093                                                471,161 –                       154,069 -33%
BANGLADESH                                               274,585                                                55,000                           219,585 399%
USA                                               222,256                                             400,607 –                        178,351 -45%
IRELAND                                                217,983                                             337,874 –                         119,891 -35%
TURKEY                                                 185,512                                             298,724 –                         113,212 -38%
NIGERIA                                                165,520                                             576,624 –                         411,104 -71%
MALAYSIA                                                  155,112                                               159,361 –                            4,249 -3%
CHINA                                                136,750                                                 81,060                             55,690 69%
UKRAINE                                                 126,719                                               164,914 –                          38,195 -23%
CANADA                                                106,860                                                25,200                              81,660 324%
JAPAN                                                103,550                                              471,465 –                       367,915 -78%
CHILE                                                 100,219                                             380,478 –                      280,259 -74%
SRI LANKA                                                  80,876                                                87,384 –                            6,508 -7%
QATAR                                                  75,898                                                            –                             75,898 0%
CHAD                                                  74,400                                                87,465 –                          13,065 -15%
OMAN                                                  69,578                                                   6,200                             63,378 1022%
INDONESIA                                                  69,544                                              182,600 –                        113,056 -62%
SOUTH AFRICA                                                  66,320                                                70,000 –                            3,680 -5%
VIETNAM                                                  44,000                                                29,536                              14,464 49%
GERMANY                                                  25,798                                                 46,271 –                         20,473 -44%
UZBEKISTAN                                                  24,000                                                52,800 –                         28,800 -55%
GIBRALTAR                                                  20,696                                                            –                             20,696 0%
DJIBOUTI                                                  20,400                                                 13,876                                6,524 47%
TAIWAN                                                   14,400                                                 66,231 –                           51,831 -78%
NEW ZEALAND                                                   12,800                                                  13,100 –                                 300 -2%
BELGIUM                                                   12,320                                                            –                              12,320 0%
BRAZIL                                                     6,000                                                            –                                6,000 0%
BURKINA FASO                                                      5,174                                                            –                                5,174 0%
SINGAPORE                                                      5,100                                                 13,740 –                            8,640 -63%
CZECH REP                                                          100                                                         100                                         – 0%
AUSTRALIA                                                              –                                                    1,695 –                             1,695 0%
COMOROS                                                              –                                                    3,125 –                             3,125 0%
DUTY FREE SHOPS                                                              –                                                        738 –                                 738 0%
EPZ                                                              –                                             438,068 –                      438,068 0%
FRANCE                                                              –                                                        200 –                                 200 0%
GHANA                                                              –                                                50,400 –                         50,400 0%
HONG KONG                                                              –                                                20,653 –                         20,653 0%
ITALY                                                              –                                                   2,638 –                            2,638 0%
KYRGYSTAN                                                              –                                                 21,347 –                          21,347 0%
MOROCCO                                                              –                                                 15,735 –                          15,735 0%
MYANMAR(BURMA)                                                              –                                                    6,105 –                             6,105 0%
SOUTH  SUDAN                                                              –                                                49,050 –                         49,050 0%
TANZANIA                                                              –                                                   9,830 –                            9,830 0%
UGANDA                                                              –                                                   6,669 –                            6,669 0%
TOTAL                        39,163,081                      43,188,403 –        4,025,322 -9%

 

Table 3: Kenya Tea Exports by Destination (Jan- May 2019 vis-à-vis Jan- May 2018)

DESTINATION 2019 – QUANTITY KGS 2018 – QUANTITY KGS QUANTITY DIFF %AGE VARIANCE
PAKISTAN                                         80,150,719                                       73,093,516 7,057,203 10%
EGYPT                                        45,574,124                                      24,747,994 20,826,130 84%
UK                                        18,993,777                                         21,010,136 -2,016,359 -10%
UAE                                         11,594,656                                       15,707,987 -4,113,331 -26%
SUDAN                                          9,083,420                                         7,627,574 1,455,846 19%
RUSSIA                                           7,448,261                                         8,094,929 -646,668 -8%
YEMEN                                           5,882,510                                         6,662,698 -780,188 -12%
AFGHANISTAN                                           4,970,281                                           3,162,199 1,808,082 57%
IRAN                                           3,341,374                                          1,494,022 1,847,352 124%
KAZAKSTAN                                            3,109,017                                         3,067,295 41,722 1%
SAUDI ARABIA                                          2,959,086                                           2,159,918 799,168 37%
SWIITZERLAND                                           2,889,714                                           1,588,120 1,301,594 82%
NIGERIA                                           2,486,331                                         2,447,865 38,466 2%
POLAND                                          2,395,649                                         2,672,950 -277,301 -10%
IRELAND                                          2,009,582                                          1,364,390 645,192 47%
JORDAN                                           1,529,084                                          1,072,927 456,157 43%
NETHERLANDS                                            1,476,316                                             409,054 1,067,262 261%
INDIA                                             1,321,190                                               811,957 509,233 63%
SOMALIA                                             1,291,916                                           2,159,136 -867,220 -40%
CHINA                                             1,159,012                                             295,062 863,950 293%
TURKEY                                            1,143,840                                           1,566,916 -423,076 -27%
USA                                            1,034,212                                          1,478,030 -443,818 -30%
JAPAN                                               879,200                                           1,075,916 -196,716 -18%
BANGLADESH                                               874,627                                              152,772 721,855 473%
INDONESIA                                                838,135                                              884,314 -46,179 -5%
MALAYSIA                                                806,916                                             457,895 349,021 76%
UKRAINE                                               586,383                                              605,651 -19,268 -3%
CHAD                                               503,323                                              316,830 186,493 59%
SOUTH AFRICA                                                482,016                                             300,385 181,631 60%
CANADA                                               440,076                                             266,739 173,337 65%
CHILE                                               399,254                                           1,107,446 -708,192 -64%
OMAN                                                 371,851                                                135,101 236,750 175%
SRI LANKA                                               352,383                                              291,345 61,038 21%
QATAR                                                331,438                                                            – 331,438 0%
UZBEKISTAN                                               282,950                                              410,596 -127,646 -31%
GERMANY                                               272,980                                             257,807 15,173 6%
DJIBOUTI                                                183,375                                              188,476 -5,101 -3%
ERITREA                                                129,920                                                84,004 45,916 55%
GHANA                                                102,632                                              201,240 -98,608 -49%
SINGAPORE                                                  90,595                                                50,268 40,327 80%
MAURITIUS                                                  80,000                                                22,995 57,005 248%
NEW ZEALAND                                                  76,280                                              159,668 -83,388 -52%
TAIWAN                                                  59,790                                                  89,115 -29,325 -33%
BEIGIUM                                                  57,600                                                            – 57,600 0%
VIETNAM                                                  44,000                                                83,904 -39,904 -48%
HONG KONG                                                  34,020                                                110,041 -76,021 -69%
MYANMAR                                                  28,080                                                   7,937 20,143 254%
GIBRALTAR                                                  20,696                                                            – 20,696 0%
GUINEA                                                    16,416                                                 10,944 5,472 50%
PALAU                                                   15,332                                                            – 15,332 0%
BRAZIL                                                   15,000                                               110,269 -95,269 -86%
EPZ                                                   14,000                                         5,257,393 -5,243,393 -100%
ITALY                                                    11,500                                                 18,288 -6,788 -37%
AZERBAIJAN                                                    10,515                                                42,706 -32,191 -75%
LITHUANIA                                                     8,986                                                   7,500 1,486 20%
MOROCCO                                                      8,071                                                 15,735 -7,664 -49%
MOZAMBIQUE                                                     7,800                                                            – 7,800 0%
BURKINA FASO                                                      5,174                                                            – 5,174 0%
KYRGYZSTAN                                                     2,094                                                 21,347 -19,253 -90%
CZECH REPUBLIC                                                         200                                                         100 100 100%
AUSTRALIA                                                              –                                                    1,727 -1,727 0%
 BOTSWANA                                                              –                                                         100 -100 0%
COMOROS                                                              –                                                    3,125 -3,125 0%
 D R CONGO                                                              –                                                 16,409 -16,409 0%
DUTY FREE SHOPS                                                              –                                                        738 -738 0%
FRANCE                                                              –                                                         218 -218 0%
 GEORGIA                                                              –                                                23,650 -23,650 0%
GREECE                                                              –                                                   4,660 -4,660 0%
GRENANDA                                                              –                                                24,830 -24,830 0%
ISRAEL                                                              –                                                   4,074 -4,074 0%
KOREA                                                              –                                                         616 -616 0%
LIBERIA                                                              –                                                           90 -90 0%
 MACAO                                                              –                                                   7,500 -7,500 0%
 NORWAY                                                              –                                                        896 -896 0%
SEYCHELLES                                                              –                                                   3,360 -3,360 0%
SOUTH  SUDAN                                                              –                                              136,857 -136,857 0%
TANZANIA                                                              –                                                50,687 -50,687 0%
UGANDA                                                              –                                                  13,401 -13,401 0%
TOTAL                    220,287,679                    195,732,340        24,555,339 13%