Khartoum tea and coffee trader launches Kenya operations

A multinational tea and coffee trader has launched its own line of packaged tea in the country, raising stakes for local players who have had little competition for decades.

Faraja Tea, which is owned by Cofftea Trading Company Ltd, will now sell at local retailers alongside established brands such as Ketepa and Kericho Gold.

The firm is part of Cofftea Group, which also deals in sugar, animal feeds and cooking oil and operates in a number of other countries including Sudan, the United Arab Emirates and Egypt.

The company, one of the major buyers of Kenyan tea at the Mombasa auction for its Khartoum-based business, will now package locally for the Kenyan market.

The firm reckons that its operations will also be a boost to farmers.

“We are giving Kenyans a better choice of having good tea in the market as we seek to expand our business locally,’ said managing director Siddig Idris.

The launch comes just two years after President Uhuru Kenyatta visited the company's offices in Khartoum and urged it to consider expanding its business to Kenya.

Trade secretary Peter Munya lauded Cofftea's move, saying it would go a long way in helping Kenyan farmers and the country’s economy.

“We are happy that the launch of this tea will lead to value addition locally and cut on the amount of bulk tea that is exported to other countries which has seen Kenya’s produce lose its origin as it is used in blending other teas out there," said Mr Munya.

Total annual tea production in Kenya is steadily growing with crop production having increased to 488 million kilogrammes in 2018 compared with 440 million kilogrammes sold in 2017.