High charges at Mombasa Port eating into tea farmers' incomes, exporters warn

High charges at Mombasa Port eating into tea farmers' incomes, exporters warn

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Omuga said tea containers from Kenya and other neighbouring countries are subjected to a Sh7,000 levy, which he described as an additional cost that eventually affects the earnings of farmers who depend on the crop for their livelihoods.

Tea exporters have raised concerns over escalating charges on tea shipments passing through the Port of Mombasa, warning that the growing costs are weakening farmers’ incomes and making East African tea less competitive in the international market.
The East African Tea Trade Association (EATTA) said multiple taxes and levies imposed on tea traders are increasing the cost of exporting the commodity, calling for a review of the charges affecting the sector.
EATTA Chief Managing Director George Omuga said the national and county governments need to work together to streamline the taxes imposed on tea businesses, arguing that the current system is placing an unnecessary financial strain on farmers and exporters.
Omuga said tea containers from Kenya and other neighbouring countries are subjected to a Sh7,000 levy, which he described as an additional cost that eventually affects the earnings of farmers who depend on the crop for their livelihoods.
“The charges imposed on every container carrying tea from farmers in Kenya and the region have continued to increase the burden on the sector. These costs eventually reduce what farmers receive, and there is a need for both levels of government to review and harmonise the levies,” said Omuga.
He also raised concerns over inefficiencies at the Port of Mombasa, saying delays in cargo processing are forcing exporters to pay additional storage fees and increasing the cost of moving tea to international markets.
According to Omuga, repeated disruptions affecting the Integrated Customs Management System (ICMS) have contributed to delays, with some tea consignments missing scheduled shipping timelines due to challenges in cargo clearance.
He warned that such disruptions increase operational expenses for exporters and weaken the region’s ability to compete with other tea-producing markets globally.
The concerns were raised during a meeting between tea industry stakeholders and Trade Cabinet Secretary Lee Kinyanjui, which focused on challenges affecting tea exports and ways of improving the sector’s performance.
Kinyanjui acknowledged the concerns raised by players in the tea industry, saying the government would engage relevant agencies, including the Kenya Ports Authority and county governments, to address disputed charges affecting exporters.
He said discussions would also focus on strengthening tea marketing efforts to improve the sector’s position in global markets.
“Concerns over the disputed charges will be taken up with the port authorities, while discussions will also be held with county governments. On tea levies, there is a need to place greater focus on improving marketing to support the sector,” said Kinyanjui.

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