Kenyan tea eyes huge Iran, Russian markets
View(s):The Kenya Tea Development Agency (KTDA) has found new markets for tea in Iran and Russia after the UN lifted a 10-year embargo, according to a January 18 report in Kenya’s Daily Nation newspaper.
According to KTDA national chairman Peter Kanyago, the agency will continue expanding the orthodox tea product in order to dislodge India and Sri Lanka that has dominated the market over the years.
“We have done heavy marketing and penetration to the two market frontiers as we intend to be heavy orthodox tea producers and [we plan to] eject the prevailing markets in the world,” Mr. Kanyago was quoted as saying in the paper.
However, he said the current production of orthodox tea is not sufficient to meet the new market demand.
The Iran and Russian markets require at least 10 to 12 million kg of orthodox tea but Kenya only produces 3e per cent of the tea from three factories in the country, the paper said.
KTDA intends to raise to eight the number of factories across the country producing this tea to be able to sufficiently meet the demand.
Each factory, according to Mr. Kanyago, will spend Sh100 million to purchase rolling machines and modernise buildings by the end of the year, the paper said.