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SMEs set to establish specialised tea auction

By Nicholas Waitathu
Wednesday, November 11th, 2020
A small scale tea farmer picks tea. Photo/PD/File
In summary

Small and medium enterprises (SMEs) that grow and market specialised teas will be assisted by the International Trade Corporation (ITC) to set up their own tea auction in Mombasa.

Agriculture and Food Authority (AFA) has confirmed that ITC has been in talks with them to establish a tea auction since the main tea auction does not have a platform to enable them export their tea.

Tea Directorate interim head at AFA Peris Mudida confirmed small scale farmers and local investors are shifting to production of specialised teas to benefit from premium prices in global niche markets amid dip in earnings from black tea.

However, much of the Crush, Tear, and Curl (CTC) black tea is sold through the Mombasa tea auction while those with specialized teas ship them directly.

Currently, specialty tea average prices stand at Sh1,089 ($10) for a kilogramme compared to Sh209.088 ($1.92) of black CTC tea at Mombasa tea auction. 

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