Increased tea production recorded in September has been attributed to rains experienced in most parts of the country.
A report released by the Tea Board of Kenya revealed that the sector gained slightly after experiencing reduced production in the months of June, July and August.
During the month, a total of 42.51 million kilogrammes were produced compared to the 36.87 million kilogrammes recorded in August.
Most parts of the West of Rift region received moderate rainfall ranging from about 30.44 mm to 78.44 mm daily.
East of Rift region that covers Mt Kenya and some parts of West including Nyamira and Bomet however recorded low rainfall averaging between 2mm and 18 mm daily.
Poor rainfall saw small-holder tea factories managed by KTDA record a production decline of 5.53 per cent from the 20.92 kilogrammes produced in the same period last year to 19.77 million kilogrammes.
State owned Nyayo tea zones that act as a buffer along public forests in both regions also recorded a decline of over 23 percent from 353,050 last year to 268,764 kilograms.
Private tea factories however recorded an increased production from 10.01 million kilogrammes to 11.04 million kilogrammes.
During the month, value-added exports amounting to 1.34 kilogrammes, about 2.8 per cent of the total volume, were sold to 26 countries, including the UK, Somalia, Yemen, Ireland, US, Burkina Farso and India.
“Out of the total exports for value-added tea, UK accounted for the highest volume at 30.7 per cent followed by Somalia and Yemen at 20.5 and 12.2 per cent respectively,” the report released by TBK CEO Willy Mutai said.
Kenyans consumed 3.13 million kilogrammes of tea during the month, with the consumption expected to rise following the removal of Value Added Tax (VAT) on all local tea supplied into the local market and zero-rating of all tea packaging materials.
Local sales were the highest this year during the month of June with 3.21 million kilogrammes consumed while last year, the sales soared in December with 3.77 million kilogrammes.
Between January and September this year, 431 million kilogrammes of tea were exported, with Pakistan emerging the biggest buyer with 156 million kilogrammes followed by Egypt with 64 million kilogrammes while UK came third with 33 million kilogrammes.
Mombasa auction, the world’s largest CTC market, trades tea from 11 countries, including Uganda, Tanzania, Malawi, Rwanda, Burundi, Mozambique, Madagascar, Ethiopia, Kenya and DRC Congo.
It has however been experiencing challenges in prices following delays in shipments to North Africa and Europe owing to piracy along the Red Sea route.
Political instability in Sudan has also locked out the market with buyers from the country abstaining from the auction, causing a low absorption of the BP1 grade that is mainly marketed in the country.
“Lower participation by some of our key markets, global economic shocks experienced in most markets and high quantities of carry-over stocks along the value-chain due to the high production experienced in the last two years have impacted auction prices, especially for CTC teas,” Mutai said.
The month however marked the inauguration of an auction for specialty and orthodox teas that received a good demand. Previously, the two varieties would be sold through direct sales.
“Direct sales will act as an incentive to boost production of specialty and orthodox that is currently at three percent of the national production," Mutai said.
