Kenya’s export earnings fall in H1 2025 as tea sales decline by US$135.5M 

KENYA – Kenya’s export earnings declined in the first half of 2025 for the first time in six years, following a steep drop in tea sales that cut revenues by Kes 17.5 billion (US$135.5M) and widened the country’s trade deficit. 

Data released by the Kenya National Bureau of Statistics (KNBS) shows that exports stood at Kes 554.08 billion (US$4.28B) in the period, compared to Kes 571.6 billion (US$4.4B) in the same period of 2024. The 3.06 per cent contraction ended a streak of growth that had lasted since 2019, underscoring Kenya’s exposure to global commodity price shifts and its dependence on a narrow basket of export markets. 

The decline was largely attributed to tea, the country’s leading export commodity. Tea exports earned Kes 90.12 billion between January and June 2025, a 12.05 per cent drop from a record Kes 102.47 billion posted during the same period last year.  

Both volumes and values declined, with export quantities falling 1.72 per cent to 315,036 tonnes, down from 320,564 tonnes in 2024. The KNBS noted that average prices at the Mombasa Tea Auction also weakened during the review period. 

Production trends reflected the decline. Monthly tea output fell from 52.1 thousand metric tonnes (MT) in May 2025 to 42.4 thousand MT in June. Auction volumes also dropped from 33.4 thousand MT in May to 32.3 thousand MT in June.  

Although average auction prices rose slightly from US$1.91 per kg in May to US$2.01 per kg in June, overall prices for the first half averaged US$2.12 per kg, down from US$2.20 per kg in 2024. 

Export earnings mirrored these shifts. Tea shipments declined from 55.7 thousand MT in May to 46.9 thousand MT in June, with revenues falling from Kes 15.4 billion (US$119.2M) to Kes 12.6 billion (US$97.5M) over the same period. This marked the first contraction in tea revenues since 2019, when earnings fell sharply by 23.80 per cent. 

Despite the weak tea performance, other export commodities recorded significant growth. Coffee earnings surged 83.68 per cent to Kes 35.38 billion (US$273.9M), up from Kes 19.26 billion (US$149.1M) in the first half of 2024. Cut flower exports also improved, rising by 19.48 per cent to Kes 47.08 billion. 

However, the coffee sector displayed mixed signals. Auction volumes at the Nairobi Coffee Exchange dropped sharply, falling from 3.2 thousand MT in April 2025 to 0.4 thousand MT in May.  

Nonetheless, prices strengthened, increasing from US$6.37 per kg in April to US$6.97 per kg in May. The exchange remained in recess throughout June. Coffee exports also dipped from 7.4 thousand MT in May to 4.6 thousand MT in June, with earnings reducing from Kes 7.4 billion (US$57.3M) to Kes 4.5 billion (US$34.8M). 

Meanwhile, sugarcane deliveries showed improvement in June, rising from 383.1 thousand MT in May to 477.4 thousand MT. Yet cumulative deliveries for the first half of 2025 totaled 3,617.5 thousand MT, a 20.9 per cent decline compared to 4,573.7 thousand MT during the same period last year. 

Kenya’s top export destinations in June 2025 were Uganda (Kes 11.0 billion), the United States (Kes 5.8 billion), and the Netherlands (Kes 5.3 billion).  

Food and beverages accounted for 45.0 per cent of total exports, non-food industrial supplies 25.0 per cent, and machinery and capital equipment 1.7 per cent, according to KNBS. 

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