Tea earns Kenya Sh33bn in Q3

Workers at a tea plantation in Kericho. FILE PHOTO | NMG

What you need to know:

  • Tea earnings, according to the 2018 Quarterly Balance of Payments (QBOP) though fell 10.1 percent in the period owing to falling international prices attributed to higher global production.
  • Black tea sold for Sh264.09 a kilogramme compared to 2017’s Sh318.84, solely blamed on higher production with the country producing an extra 12.3 percent in third quarter to 115,200 tonnes from 102,600 tonnes during the comparable 2017 period.

Tea remained the top earner at Sh32.6 billion followed by horticulture at Sh31 billion during the July-September 2018 period.

Tea earnings, according to the 2018 Quarterly Balance of Payments (QBOP) though fell 10.1 percent in the period owing to falling international prices attributed to higher global production.

Black tea sold for Sh264.09 a kilogramme compared to 2017’s Sh318.84, solely blamed on higher production with the country producing an extra 12.3 percent in third quarter to 115,200 tonnes from 102,600 tonnes during the comparable 2017 period.

Horticulture, which has enjoyed major inroads in new markets in Asia and Europe recorded a 15.7 percent rise to Sh31 billion from Sh26.8 billion. The report noted a sharp rise in fruit exports by 67 percent overshadowed the decline in flowers and vegetables exports.

The report by Kenya National Bureau of Statistics showed coffee exports rose 8.5 percent to 10,200 tonnes that raked in Sh5.1 billion from 9,400 tonnes in 2017 worth Sh8.3 billion.

Milk deliveries to processors rose by 4.6 percent to stand at 160.4 million litres up from 153.3 million litres reported during the third quarter of 2017, mainly supported by sufficient rains that ensured adequate supply of pastures.

Under its ambitious Integrated National Exports Development and Promotion Strategy, Kenya targets to grow exports by 25 percent yearly to Sh1.8 trillion in 2022.

To achieve this, Kenya has prioritised value-addition for tea, coffee and fruits targeting China and India as top priority markets.

According to Fresh Produce Exporters Association of Kenya Technical Training, Standards and Compliance officer Boniface Mulandi, fruits and vegetables are the best bet for small-scale farmers and starters eyeing the export market.

“Fruits such as pineapples, bananas, passion fruits, citrus, avocados, mangoes and pears sell like hot cake in the market,” he said.

Kenya also exports vegetables notably cucumbers, spinach, kale, amaranth, cabbages, cauliflowers, tomatoes, peas, French beans, broccoli, radish, egg plants and pumpkins.

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Note: The results are not exact but very close to the actual.