KENYA TEA INDUSTRY PERFORMANCE HIGHLIGHTS FOR AUGUST 2018

 

1.0 PRODUCTION

 

Tea production for the month of August 2018 was 37.43 Million Kgs, against 32.69 Million Kgs recorded during the corresponding month of 2017. Increased production was largely attributed to the continued precipitation in tea growing areas in the West and East of Rift particularly in Bomet, Nyamira, Kisii, Muranga, Nyeri, Kirinyaga, Embu and Kiambu counties. Consequently, output Within the East of Rift rose from 7.85 Million Kgs to 9.97 Million Kgs while that of the West of Rift increased from 24.83 Million Kgs to 27.45 Million Kgs. Higher production was recorded within Smallholder sub-sector with output increasing from 15.46 Million Kgs to 17.82 Million Kgs. Similarly, production within the Plantation sub-sector increased from 17.23 Million Kgs to 19.60 Million Kgs.

Cumulatively, production for the period January-August 2018 was significantly higher by 14% to stand at 303.70 Million Kgs against 265.17 Million Kgs recorded during the corresponding period of 2017 owing to good weather conditions.

Table 1: Tea Production by Sub-Sector and Region (2018 vis-à-vis 2017)

PRODUCTION (KGS) August  2018 August 2017 Variance Var.(%) Jan – Aug 2018 Jan – Aug 2017 Variance Var.(%)
Plantation West of Rift              18,207,243              16,307,180             1,900,063 11.65%               124,566,554                 111,007,795              13,558,759 12.21%
East of Rift                 1,396,638                   922,939                 473,699 51.33%                      9,601,717                    9,239,274                    362,443 3.92%
Total      19,603,881      17,230,119     2,373,762 13.78%       134,168,271      120,247,069      13,921,202 11.58%
                 
Smallholder West of Rift                9,250,036                8,527,107                 722,929 8.48%                   79,721,106                   66,576,811               13,144,295 19.74%
East of Rift                8,578,679               6,935,956             1,642,723 23.68%                   89,816,481                 78,347,473               11,469,008 14.64%
Total      17,828,715     15,463,063     2,365,652 15.30%      169,537,587      144,924,284     24,613,303 16.98%
                   
Plantation & Smallholder West of Rift             27,457,279            24,834,287            2,622,992 10.56%              204,287,660               177,584,606             26,703,054 15.04%
East of Rift                 9,975,317               7,858,895              2,116,422 26.93%                   99,418,198                 87,586,747                 11,831,451 13.51%
  Total     37,432,596     32,693,182     4,739,414 14.50%     303,705,858      265,171,353     38,534,505 14.53%

 

2.0 SALES

AUCTION

During the month of August 2018, 25.14 Million kgs of Kenyan tea was sold through Mombasa Auction against 16.08 Million kgs recorded in August 2017. Owing to higher supply, the average auction prices for Kenyan tea for the month of August 2018 was lower at USD 2.40 per Kg against USD 2.49 recorded during the month of July and USD 2.90 for the corresponding period of last year.

Cumulative average price for first eight months of 2018 was also lower at USD 2.68 per Kg compared to USD 2.99 for the corresponding period of 2017.

EXPORTS

The total export volume for the month of August 2018 was 38.53 Million Kgs compared to 28.03 Million Kgs recorded same period of last year, representing a 37% increase. During the month, Kenya tea was shipped to forty one (41) export destinations compared to thirty eight (38) destinations for the same period of last year. Amongst these markets, Pakistan was the leading export destination for Kenyan tea having imported 13.33 Million Kgs, accounting for 35% of the total export volume. Other key export destinations for Kenyan tea were Egypt (8.03 Million Kgs), UAE (3.90 Million Kgs), UK (2.74 Million Kgs), Russia (1.53 Million Kgs), Sudan (1.51 Million Kgs), Afghanistan (0.94 Million Kgs), Yemen (0.72 Million kgs), Poland (0.69 Million Kgs) and Iran (0.59 million Kgs). The ten export destinations, most of which which are traditional markets for Kenyan tea accounted for 88% of Kenya tea export volume. Most the traditional markets recorded higher tea imports from Kenya except UK and Poland that recorded lower imports, while Iran joined the top ten export destinations.

Emerging markets that recorded significantly higher tea imports from Kenya included Switzerland, Saudi Arabia, Jordan, Malaysia, South Africa,Oman, Somalia, Chad and Myamar

The total export volume for the period January-August 2018 was 311.62 Million Kgs compared to 285.42 Million Kgs recorded same period of last year.

LOCAL CONSUMPTION

 

Local tea consumption for August 2018 stood at 3.06 Million Kgs against 3.08 Million Kgs for the corresponding period of 2017 while cumulative tea consumption for the eight month period upto August 2018 stood at 23.02 Million Kgs against 24.33 Million Kgs for the corresponding period of 2017.

 

 

 

25TH SEPTEMBER, 2018

 

 

Table 2: Kenya Tea Exports by Destination (Aug 2018 vis-à-vis Aug  2017)

DESTINATION 2018 QUANTITY – KGS 2017 – QUANTITY – KGS QUANTITY DIFF %AGE VARIANCE
PAKISTAN                    13,337,308                        8,079,722 5,257,586 65%
EGYPT                      8,031,068                        3,128,141 4,902,927 157%
UAE                      3,909,785                        1,830,576 2,079,209 114%
UK                      2,745,440                        6,544,857 -3,799,417 -58%
RUSSIA                      1,538,606                        1,146,764 391,842 34%
SUDAN                      1,516,286                            352,374 1,163,912 330%
AFGHANISTAN                         946,021                            572,112 373,909 65%
YEMEN                         720,000                              41,960 678,040 1616%
POLAND                         694,188                            806,996 -112,808 -14%
IRAN                         591,115                            197,000 394,115 200%
NIGERIA                         539,269                        1,715,652 -1,176,383 -69%
KAZAKHASTAN                         404,595                              38,517 366,078 950%
NETHERLANDS                         368,112                            176,652 191,460 108%
SWITZERLAND                         362,944                              24,440 338,504 1385%
SAUDI ARABIA                         311,609                            152,030 159,579 105%
JORDAN                         308,750                              36,072 272,678 756%
INDONESIA                         269,770                            287,380 -17,610 -6%
TURKEY                         232,351                            282,358 -50,007 -18%
IRELAND                         212,608                            318,380 -105,772 -33%
JAPAN                         212,434                            252,468 -40,034 -16%
USA                         149,182                            351,576 -202,394 -58%
MALAYSIA                         133,176                              50,000 83,176 166%
UKRAINE                         123,072                            204,404 -81,332 -40%
SOUTH AFRICA                         116,557                              23,000 93,557 407%
OMAN                         102,424                                2,600 99,824 3839%
SOMALIA                            95,220                              52,000 43,220 83%
CHINA                            80,344                              88,480 -8,136 -9%
CANADA                            78,242                                       –   78,242 0%
INDIA                            66,170                            565,596 -499,426 -88%
SRI LANKA                            53,860                            149,004 -95,144 -64%
UZBEKISTAN                            49,900                                       –   49,900 0%
DJIBOUTI                            48,000                                       –   48,000 0%
CHAD                            46,732                              15,742 30,990 197%
TANZANIA                            45,552                                       –   45,552 0%
MAURITIUS                            25,000                              21,250 3,750 18%
HONG KONG                            22,976                              15,000 7,976 53%
MYAMAR                            16,689                                7,000 9,689 138%
GREECE                            11,000                                       –   11,000 0%
BRAZIL                              9,000                                       –   9,000 0%
GERMANY                              5,250                                       –   5,250 0%
EPZ                              1,000                                       –   1,000 0%
BELGIUM                                     –                              176,114 -176,114 0%
CHILE                                     –                              227,175 -227,175 0%
CZECH                                     –                                19,572 -19,572 0%
SINGAPORE                                     –                                74,000 -74,000 0%
TAIWAN                                     –                                  6,466 -6,466 0%
TOTAL                    38,531,604                      28,033,430 10,498,174 37%

 

 

 

Table 3: Kenya Tea Exports by Destination (Jan- Aug 2018 vis-à-vis Jan- Aug 2017)

DESTINATION  2018 QUANTITY – KGS  2017 QUANTITY -KGS QUANTITY DIFF %AGE VARIANCE
PAKISTAN                               113,067,680                                  109,857,957                  3,209,723 3%
EGYPT                                    44,958,512                                    39,635,748                  5,322,764 13%
UK                                      31,153,865                                     29,320,147                    1,833,718 6%
UAE                                      23,362,562                                     18,290,926                   5,071,636 28%
RUSSIA                                     13,516,520                                      11,499,657                   2,016,863 18%
SUDAN                               11,578,513                                      14,108,495 –              2,529,982 -18%
YEMEN                                   9,906,360                                        9,021,230                       885,130 10%
AFGHANISTAN                                  8,749,867                                       7,608,668                  1,141,199 15%
EPZ                                5,646,738                                                           –                    5,646,738 0%
KAZAKHSTAN                                   5,072,341                                       4,486,407                      585,934 13%
POLAND                                     4,463,086                                        4,351,699                         111,387 3%
NIGERIA                                    3,611,034                                       3,748,523 –                    137,489 -4%
SAUDI ARABIA                                3,490,813                                         3,105,818                      384,995 12%
IRAN                                3,154,546                                       2,335,524                       819,022 35%
SWITZERLAND                            3,048,448                                         1,179,380                   1,869,068 158%
TURKEY                                    2,627,454                                        1,627,953                       999,501 61%
SOMALIA                                2,584,441                                        1,252,497                    1,331,944 106%
USA                               2,037,782                                       3,556,700 –                 1,518,918 -43%
IRELAND                                  1,932,111                                         2,382,811 –                   450,700 -19%
CHILE                                1,838,998                                          1,169,641                      669,357 57%
JORDAN                                 1,807,677                                        1,946,322 –                    138,645 -7%
JAPAN                                 1,634,271                                          1,195,317                      438,954 37%
INDONESIA                                 1,548,408                                        1,336,039                       212,369 16%
NETHERLANDS                           1,158,998                                        1,983,900 –                   824,902 -42%
UKRAINE                                1,050,940                                         1,192,339 –                     141,399 -12%
INDIA                                 1,022,567                                        2,172,382 –                 1,149,815 -53%
MALAYSIA                                      885,940                                            698,820                        187,120 27%
CHINA                                        691,397                                            889,650 –                    198,253 -22%
SRI LANKA                                    541,025                                             803,821 –                   262,796 -33%
CANADA                                   495,236                                            340,660                       154,576 45%
SOUTH AFRICA                                   480,230                                            339,860                       140,370 41%
UZBEKSTAN                                    460,496                                             275,196                       185,300 67%
CHAD                                     451,725                                            330,035                        121,690 37%
DJIBOUTI                                       421,236                                            332,450                         88,786 27%
GERMANY                                    414,670                                            557,670 –                    143,000 -26%
NEW ZEALAND                                    407,932                                               38,400                      369,532 962%
GHANA                                    327,240                                                           –                        327,240 0%
OMAN                                         311,400                                            642,544 –                     331,144 -52%
SOUTH  SUDAN                                      173,097                                                           –                         173,097 0%
 ERITREA                                         169,204                                             130,000                         39,204 30%
TAIWAN                                    168,715                                             155,780                          12,935 8%
HONG KONG                                           164,387                                            236,754 –                      72,367 -31%
BANGLADESH                                          152,772                                            240,900 –                       88,128 -37%
VIETNAM                                      130,312                                                           –                          130,312 0%
MAURITIUS                                        121,465                                             186,350 –                      64,885 -35%
BRAZIL                                        119,269                                                           –                          119,269 0%
TANZANIA                                            96,239                                                           –                           96,239 0%
SINGAPORE                                          76,268                                              129,315 –                      53,047 -41%
AZERBAIJAN                                         42,706                                               45,000 –                         2,294 -5%
UGANDA                                            31,506                                                           –                            31,506 0%
MOROCCO                                         29,496                                                           –                           29,496 0%
 GEORGIA                                         28,610                                                           –                            28,610 0%
GRENANDA                                        24,830                                                           –                           24,830 0%
MYANMAR(BURMA)                                        24,788                                             197,200 –                     172,412 -87%
KYRGYSTAN                                          21,347                                            51,156 –                      29,809 -58%
ITALY                                         18,288                                                  2,882                          15,406 535%
BELGIUM                                         17,840                                            299,578 –                    281,738 -94%
GUINEA                                        21,881                                                           –                             21,881 0%
 D R CONGO                                        16,409                                                           –                            16,409 0%
GREECE                                        15,660                                                14,676                                 984 7%
LATVIA                                         9,400                                                  9,320                                 80 1%
LITHUANIA                                          7,500                                                           –                              7,500 0%
 MACAO                                         7,500                                                  5,000                            2,500 50%
BULGARIA                                          5,156                                                           –                               5,156 0%
ISRAEL                                          4,074                                               50,000 –                      45,926 -92%
SEYCHELLES                                         3,360                                                           –                              3,360 0%
COMOROS                                          3,125                                                           –                               3,125 0%
KUWAIT                                         3,054                                                           –                              3,054 0%
AUSTRALIA                                         2,292                                                1,600                                 692 43%
RWANDA                                           2,027                                                           –                              2,027 0%
DUTY FREE SHOPS                                         1,476                                                           –                               1,476 0%
 NORWAY                                            896                                                           –                                   896 0%
KOREA                                            616                                                           –                                616 0%
FRANCE                                            218                                                           –                           218 0%
CZECH REPUBLIC                                             150                                               27,202 –                    7,052 -99%
 BOTSWANA                                    100                                                           –                                  100 0%
LIBERIA                                                 90                                                           –                                  90 0%
MALI                                              3                                                           –                        3 0%
 IRAQ                                         2                                                           –                         2 0%
GABON                                          –                                                     9,032 –                         9,032 0%
US MINOR OUTLING ISLANDS                                           –                                                  14,032 –                       14,032 0%
TOTAL                     311,629,187                  285,420,963      26,208,224 9%