Keypoints:
- $24m worth of tea stranded at Mombasa port
- Export losses rising across tea, meat and flowers
- Shipping costs surge amid war-driven route changes
KENYA’S tea trade has been hit by the Middle East war, with up to 8,000 tonnes worth about $24m stranded at the port of Mombasa, exposing the country’s vulnerability to global shipping disruptions.
The disruption is now spreading beyond tea, hitting meat, flowers and fuel supply chains, and raising concerns about export revenues, foreign exchange inflows and broader economic stability in East Africa’s largest economy.
‘Tea exports stall at Mombasa’
The East African Tea Trade Association (EATTA), which oversees auctions in Mombasa—one of the world’s largest tea trading hubs—said shipments have been severely disrupted since the escalation of hostilities on February 28.
EATTA director George Omuga told AFP that ‘six to eight million kilos’ of tea already sold to international buyers remains stuck at the port, unable to reach key markets.
‘So that’s an average of $24m worth of tea at the port,’ he said.
The Middle East, which accounts for about 20 percent of East Africa’s tea exports, has been among the hardest hit regions. Ongoing instability has disrupted shipping schedules and increased risks along major maritime routes.
At the same time, Pakistan—Kenya’s largest tea buyer, representing roughly 40 percent of demand—has also been affected. Exporters are facing higher freight charges and insurance premiums as vessels are rerouted to avoid conflict zones.
‘Shipping routes and costs surge’
The disruption has triggered a sharp rise in logistics costs, with exporters dealing with longer transit times and reduced shipping capacity.
Tea sales have fallen by nearly 20 percent in recent weeks, resulting in estimated losses of about $8m per week, according to industry data cited by AFP.
The situation highlights East Africa’s reliance on stable shipping routes linking the Indian Ocean to Gulf markets and South Asia.
For Kenya, where tea remains one of the country’s top foreign exchange earners, sustained disruption could significantly affect export revenues and rural livelihoods.
‘Spillover hits meat and flowers’
The impact is spreading beyond tea. Kenya’s meat and horticulture industries are also experiencing losses as export channels tighten.
Nicholas Ngahu, CEO of the Kenya Meat and Livestock Exporters Industry Council (KEMLEIC), told AFP that during the first three weeks of March, only five percent of the usual daily meat exports—typically between 150 and 200 tonnes—were successfully delivered.
Most shipments are destined for the Middle East, making the sector particularly vulnerable to regional instability.
The flower industry is also exposed. The Middle East accounts for between 10 and 15 percent of Kenya’s flower exports and serves as a critical transit hub for shipments heading to Europe.
Disruptions in the region therefore risk wider supply chain delays and reduced product quality due to longer transit times.
‘Fuel supply fears emerge’
Beyond exports, the conflict is also raising concerns about Kenya’s fuel supply, given the country’s dependence on imported petroleum.
Although pump prices remained stable in March, early signs of strain are emerging.
Vivo Energy Kenya, which operates Shell-branded service stations, reported ‘temporary stock-outs at some service stations’, attributing the issue to increased demand.
The company said it is ‘working continuously to replenish affected sites as quickly as possible’.
John Njogu, CEO of the Petroleum Outlets Association of Kenya, told AFP that panic buying is beginning to affect supply, with thousands of independent stations facing shortfalls.
So far, Kenya has avoided the long queues seen in neighbouring Ethiopia, but traders remain cautious about potential price spikes if disruptions persist.
‘Kenya’s trade exposure laid bare’
The unfolding crisis highlights Kenya’s vulnerability to external shocks, particularly those affecting global shipping routes and energy markets.
Heavy reliance on a limited number of export destinations—especially in the Middle East and South Asia—has amplified the disruption.
At the same time, rising transport and insurance costs are squeezing exporters across sectors, adding pressure to an economy already navigating currency volatility and shifting global demand.
If the conflict persists, traders warn that prolonged route disruptions could trigger deeper export losses and sustained pressure on Kenya’s currency and inflation outlook.
For now, the stranded tea at Mombasa stands as a clear signal of how distant conflicts can quickly disrupt Africa’s economic lifelines.
