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Kenya Launches First Orthodox Tea Auction to Diversify Global Market Share

Kenya Launches First Orthodox Tea Auction to Diversify Global Market Share

Key Highlights

  • Kenya launches first-ever Orthodox tea auction at the East African Tea Trade Auction (EATTA) in Mombasa.
  • Over 650,000 farmers to benefit as the government diversifies from traditional CTC teas.
  • Tea Board of Kenya (TBK) licenses 22 factories, sets up 13 new processing lines, and establishes a Tea Quality Assurance Lab.
  • Orthodox teas expected to fetch between USD 3 (Sh387) and USD 10 (Sh1,292) per kg — higher than bulk CTC averages of USD 2.28 (Sh294).
  • Target: grow Orthodox tea capacity from 15 million kg in 2024 to 200 million kg by 2030.
  • Kenya’s tea earnings hit Sh215 billion in 2024, but CTC prices remain flat amid global market shifts.
  • Mombasa Auction to undergo digital transformation for transparency and global participation.

Kenya has officially launched its first Orthodox tea auction at the East African Tea Trade Auction (EATTA) in Mombasa, a historic move expected to transform the fortunes of more than 650,000 farmers.

Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe, who presided over the launch, said the shift marks a new era as the government works to diversify beyond traditional Crush, Tear, and Curl (CTC) teas and secure a place in the growing global specialty tea market.

“By launching Orthodox teas at the auction today, we confirm to the world that Kenya is no longer just a CTC powerhouse; we are now a serious and competitive player in the global Orthodox market,” Kagwe stated.

To accelerate the transition, the Tea Board of Kenya (TBK) has licensed 22 factories to produce Orthodox teas, with 13 new government-backed processing lines already installed. The board has also set up a Tea Quality Assurance Laboratory in Mombasa to provide real-time testing, advisory services, and food-safety certification.

The auction debuted with 2,925 packages, equivalent to 91,798 kilograms of Orthodox tea, expected to fetch prices between USD 3 and USD 10 per kilogram. This compares favorably with bulk CTC teas at the Mombasa auction, which average USD 2.28 per kilogram.

Kenya’s tea earnings rose to Sh215 billion in 2024, up from Sh180 billion in 2023, but flat demand and depressed prices for CTC teas continue to limit farmer returns. Orthodox production, though lower in 2024 due to market disruptions in Iran, remains a promising frontier.

Under the Bottom-Up Economic Transformation Agenda (BETA), the government plans to expand Orthodox production capacity from 15 million kilograms in 2024 to 200 million kilograms by 2030.

The Mombasa Tea Auction will also leverage digital platforms to allow real-time global participation, enhance price discovery, and curb cartel practices.

TBK CEO Willy Mutai pledged to secure wider global market access for Kenyan teas, while EATTA Managing Director George Omuga said the launch provides Africa with a chance to reduce overreliance on CTC teas.

“It’s our time to show the globe that the best Orthodox tea on earth exists. What happens in this auction sets the pace for the global tea trade and tea price,” Omuga said.