Tea exporters have raised alarms over escalating charges and inefficiencies at the Port of Mombasa, warning that these costs are squeezing farmers’ incomes and weakening the region’s position in the international tea market.
The East African Tea Trade Association (EATTA) highlighted that multiple levies, including a Sh7,000 fee per tea container, are increasing export expenses. EATTA’s Chief Managing Director, George Omuga, called for urgent coordination between national and county governments to harmonise these charges and reduce the financial burden on farmers and exporters.
"The various taxes imposed on tea shipments from Kenya and neighbouring countries are driving up costs, which ultimately diminish the returns for farmers who rely heavily on tea for their livelihoods," Omuga explained.
Besides the high levies, exporters are also grappling with delays caused by inefficiencies at the port, particularly disruptions to the Integrated Customs Management System (ICMS). These delays have led to additional storage fees and missed shipping schedules, further inflating operational costs.
"Repeated system breakdowns have hampered timely cargo clearance, forcing exporters to incur extra charges and reducing the competitiveness of East African tea on the global stage," Omuga added.
The concerns were raised during discussions with Trade Cabinet Secretary Lee Kinyanjui, who acknowledged the challenges and pledged government engagement with relevant stakeholders, including Kenya Ports Authority and county governments, to resolve disputed fees and improve export processes.
"We will address the contentious charges with port authorities and work with county governments to streamline levies. Strengthening tea marketing efforts is also a priority to enhance the sector’s global competitiveness," Kinyanjui stated.
