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Kenyan Tea Worth USD 10M Is Stuck in Pakistan Port Due to Currency Shortfall

Bulk Black Tea
Kenya
Price
Pakistan
Supply
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Benard Mutai
Updated Mar 15, 2023
The Kenyan tea industry is expected to face declining auction prices as stocks are piling in Pakistan, its main export market, due to limited access to USD currency, which then caused limited access to Letters of Credit by importers required for clearing purposes. Volumes affected by this crunch were estimated at 200 FCLs or 4.8M kg, resulting in a shortage of black tea in the Pakistani market, with average prices in W10 at USD 5.67/kg, up from USD 3.90/kg in February, representing a 45% increase.
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