Kenya and Iran have agreed to a 60-day timeline for lifting Iran’s ban on Kenyan tea exports, following a disruption caused by trade malpractice involving the Kenyan exporter Cup of Joe Limited. The breakthrough was announced during the 7th Session of the Kenya–Iran Joint Commission for Cooperation (JCC) in Nairobi, co-chaired by Prime Cabinet Secretary Musalia Mudavadi and Iran’s Minister of Agricultural Jihad, Dr. Gholamreza Nouri Ghezalcheh.
The ban was triggered after Cup of Joe Limited was found to have imported low-grade tea, blended it, and exported it as premium Kenyan tea to Iran. In response, Kenyan authorities deregistered the company and revoked its trading licenses. The Tea Board of Kenya and government officials stressed these actions as part of broader reforms to ensure accountability and preserve the integrity of Kenyan tea exports, which are crucial to the economy and support over 600,000 smallholder farmers.
Both nations have now established a joint committee tasked with crafting a framework to resume tea trade, restore quality standards, and rebuild trust. This committee’s mandate is clear: resolve compliance issues and trade bottlenecks to ensure exports can resume before the 60-day deadline.
Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe emphasized that the sector’s reputation and foreign exchange earnings must be protected from unscrupulous practices.
Trade data underscores the importance of the Iranian market for Kenyan tea: exports to Iran totaled 12.4 million kg worth KSh4.28b in 2023 a sharp decline from 17.8 million kg worth KSh5.85b the previous year.
The embargo inflicted heavy financial losses on farmers and exporters, underlining the urgency of resuming trade.
While both governments are optimistic, external factors such as regional tensions (including Iran’s conflict involvement with Israel) could complicate negotiations and affect the timeline.
Nevertheless, both parties remain committed to resolving all outstanding issues, refurbishing regulatory frameworks, and re-establishing Kenya as a trusted supplier to the Middle Eastern market.
Kenya’s efforts to regain access to Iran’s robust market are seen as potentially transformative for the country’s tea value chain, with wider implications for trade ties across the Middle East.
The next two months will be critical as stakeholders work to secure a sustainable, transparent, and mutually beneficial trading relationship.
