Kenya’s tea export revenues declined significantly in the first quarter of 2025, according to newly released data from the Kenya National Bureau of Statistics (KNBS). The figures reveal that earnings fell by 20 percent compared to the same period in 2024, marking a substantial setback for one of the nation’s primary foreign exchange earners.
Between January and March, Kenya recorded tea export revenues of 46.07 billion Kenyan shillings (approximately 356 million U.S. dollars), down from 446 million U.S. dollars in the first quarter of 2024. This downturn was attributed to a notable decline in export volumes, which fell to 157,514 tonnes from 169,830 tonnes—a reduction of 7.3 percent.
The Tea Board of Kenya (TBK) indicated that the contraction was primarily driven by a prolonged dry spell, which adversely affected tea-growing regions across the country. “This had a significant impact on tea production, mainly in February, with output falling by 21 percent in the east of the Rift and 18.6 percent in the west,” said TBK Chief Executive Officer Willy Mutai in a recent press briefing.
Tea cultivation in Kenya is highly sensitive to climatic conditions, and the recent meteorological anomalies underscore the vulnerability of the sector to climate variability. The first quarter’s weather patterns deviated significantly from historical norms, disrupting production cycles and undermining export capacity.
Kenya, the world’s third-largest tea exporter, traditionally supplies major markets such as Pakistan, the United Kingdom, Russia, and Chad. However, in response to fluctuating demand and climatic unpredictability, the country is intensifying efforts to diversify its export portfolio. Notably, trade agreements have been signed with several Chinese firms, targeting an increase in exports to China from 12.2 million kilogrammes in 2024 to 50 million kilogrammes by 2030. This strategic move aligns with Kenya’s broader economic agenda of reinforcing resilience in key sectors and expanding into high-growth consumer markets.
Despite the quarterly decline, tea remains a cornerstone of Kenya’s economy, alongside horticulture and tourism. The sector supports millions of livelihoods, particularly in rural areas, and generates crucial foreign exchange for the country.
The recent developments, though adverse in the short term, may accelerate Kenya’s shift towards climate-resilient agricultural strategies and more diversified trade partnerships. Analysts note that achieving long-term sustainability in tea production will require both investment in adaptive technologies and robust policy frameworks that address climate-related risks.
