Kakuzi brews local growth to counter global tea market slump

Kakuzi brews local growth to counter global tea market slump

Kakuzi Plc Brand Manager Michelle Dora Wanjiku displays the new Kakuzi Pure Black Tea packs

Kakuzi Plc Brand Manager Michelle Dora Wanjiku displays the new Kakuzi Pure Black Tea packs

As part of an ongoing product and market diversification strategy to boost earnings, agribusiness firm Kakuzi Plc has launched a loose-leaf tea brand. Available in 250g and 500g pack, this move is designed to mitigate export-related risks for its tea produce as global tea trade fortunes dwindle.

“This is the first time in our history that we are delivering a quality tea brand for the local market, sourced from our Kaboswa Tea Estate in Nandi County,” explained Kakuzi Managing Director Chris Flowers during the launch of Kakuzi Pure Black Tea offering.

Globally, tea prices have been experiencing volatility, with benchmark Kenyan tea auction prices hovering around $2.00–2.50 per kilogram in late 2023 to mid-2025. 

While some markets have shown slight upticks, tea prices in global markets have generally been on the decline over the past 40 years, attributable to rising production. 

What's more, currency swings and demand from key tea markets such as Pakistan, Egypt, and the UK have continued to influence pricing for the green leaf.

As part of the business development plans, the Nairobi Securities Exchange firm disclosed that it is enjoying steady growth as domestic sales of products begin to contribute positively to the balance sheet, complementing the firm’s flagship Avocado and Macadamia exports.

Alongside Kakuzi Pure Black Tea, Kakuzi has, in recent years, launched quality ready-to-eat Macadamia, Cold Pressed Macadamia Oil, and Blueberry products to the local market. 

Last year, as part of its strategic plans to increase production over the next ten years, the firm disclosed plans to nearly double avocado production and exports from three million to five million four-kilo equivalent cartons. 

Kakuzi is also planning to increase its Macadamia production from 900 tonnes of kernel to 1,500 tonnes.

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