Keproba seeks alternative markets as Iran war takes toll on Kenyan tea exports

EATTA CEO George Omuga in Mombasa on Saturday / BRIAN OTIENO

Keproba CEO Floice Mukabana in Mombasa on Tuesday / BRIAN OTIENO

The government is accelerating efforts to diversify export markets after war in Iran disrupted shipments of tea, one of Kenya’s key foreign exchange earners.

Through the Kenya Export Promotion and Branding Agency (Keproba), officials are encouraging exporters to broaden their product range and explore new markets, particularly within Africa.

Keproba CEO Floice Mukabana described the Middle East conflict as a wake-up call for market diversification.

“This is an opportunity for Kenyan exporters to explore African markets using the African Continental Free Trade Area as a mitigator to traditional routes,” she said.

The war has already cost tea exporters about $24 million (about Sh3.1 billion) in the past three weeks, with more than six million kilogrammes of tea stuck at the Mombasa port.

East Africa Tea Trade Association (EATTA) chief executive George Omuga said shipping lines have cancelled dockings due to the conflict.

“Twenty per cent of Kenya’s tea goes to the Middle East every week. Since the war began, a large portion has remained in Mombasa, incurring significant losses,” he said.

In 2024, Kenya exported 83 million kilogrammes of tea to Middle Eastern countries, including the UAE, Saudi Arabia, Yemen, Iran, Jordan and Oman.

Iran alone imported 13 million kilogrammes valued at Sh4.26 billion, while the UAE imported 30.5 million kilogrammes worth more than Sh10 billion.

Kenya Chamber of Commerce and Industry Mombasa chapter chair Aboud Jamal noted the strain on businesses and emphasised collaboration with Keproba to explore new markets and spread risk.

The situation highlights the importance of leveraging regional trade through AfCFTA to reduce dependence on volatile external markets, while ensuring Kenya’s export economy remains resilient in the face of global disruptions.