Kenya’s tea industry is facing significant disruption as the ongoing conflict involving Iran continues to impact global shipping routes, leaving millions of kilograms of tea stranded in warehouses.
According to the East Africa Tea Traders Association, approximately eight million kilograms of tea have been stuck for weeks in storage facilities in Mombasa. The situation is raising serious concerns over declining export earnings and the livelihoods of tea farmers.
George Omuga, Managing Director of the association that oversees the Mombasa tea auction, revealed that the sector has been incurring losses of nearly 8 million US dollars per week since March 1.
“The current conflict in the Middle East has had a direct and negative impact on this auction,” Omuga told Reuters, highlighting that no tea shipments are currently heading to the Middle East — a region that typically accounts for 20 to 25 percent of Kenya’s tea exports.
The crisis has triggered widespread disruption in global shipping, with major carriers suspending routes through critical waterways such as the Strait of Hormuz and the Bab el-Mandeb Strait. As a result, vessels are being rerouted around Africa, increasing transit times and significantly raising freight and insurance costs.
Despite these challenges, William Ruto recently stated that tea exports were performing well, noting that 81 percent of tea offered at auction in March had been exported, compared to 75 percent a year earlier.
However, Omuga disputed this claim, explaining that the figure refers to tea purchased at auctions between January and March 2026, rather than actual shipments. He warned that logistical bottlenecks are worsening and the overall outlook remains negative.
“Government statements are meant to reassure the public, but the reality on the ground does not reflect a positive trend,” he added. Officials from the president’s office have not responded to requests for comment.
Kenya exports an average of 100 million kilograms of tea annually to Middle Eastern markets. While shipments to countries like Pakistan and Egypt continue, they are now being rerouted via the longer path around the Cape of Good Hope, further squeezing exporters’ profit margins.
The industry is also still recovering from the effects of the Russia-Ukraine War, which significantly reduced Kenya’s tea exports to Russia.
Industry leaders are now urging the government to explore new markets within Africa to help protect the sector from ongoing global uncertainties.