Tea in packings ≤3 kg market in Tanzania

Earlier Report Observations

From 2018 to 2022, tea production in Tanzania consistently declined, leading to a contraction in market volume in physical terms. The most pronounced drop occurred in 2020 when a global crisis reduced demand for tea, increasing unsold inventories at local auctions. Despite government measures to support small-scale farmers and introduce drought-resistant varieties starting in 2021, production volumes continued to fall, likely reflecting implementation delays for these initiatives.

Market volume in tonnes showed a recovery in 2023, rising to 21 190 t. This increase coincided with the active promotion of specialized tea varieties and innovative products aimed at capturing new consumer segments. Concurrently, the government announced strategic reforms, including plans to open five new factories with modern equipment by 2024, targeting increased processing capacity and local value addition.

In value terms, the market fluctuated, reaching $39.6 million in 2023, reflecting shifts in prices or product mix. Throughout the period, the industry remained socio-economically vital, employing thousands of smallholders and supported by research from the Tea Research Institute of Tanzania.

Production tea in packings ≤3 kg in Tanzania

In kind, 2017-2020, t

Between 2017 and 2020, Tanzania ranked 16th globally in the production of tea in packings of 3 kg or less.

Top producers of tea in packings ≤3 kg, 2017-2020

World map of production of tea in packings ≤3 kg, 2017-2020

Tanzania's production of tea in packings of 3 kg or less declined for the second year in a row. In 2020, the country produced 28 469 tonnes, which was 15.4% lower than in 2019. Over the period from 2017 to 2020, production fell by 10.5%, averaging an annual decrease of 3.6%. The highest production level was recorded in 2018 at 35 170 tonnes, with the largest year-on-year increase of 10.5% also occurring that year.

Annual dynamics of production in Tanzania in kind, 2017-2020, t

In value, 2017-2020, K $ US

In 2020, the value of tea production in packings of 3 kg or less in Tanzania was 41 494 thousand US dollars, showing a sharp year-on-year decline of 27.4%. From 2017 to 2020, the production value decreased by 26.5%, with an average annual drop of 9.7%. The peak value was reached in 2019 at 57 193 thousand US dollars, which also saw the largest increase of 13.9% compared to the previous year.

Annual dynamics of production in Tanzania in value, 2017-2020, K $ US

Exports tea in packings ≤3 kg from Tanzania

Exports in kind, t

The market performance showed significant fluctuations during this period. Export volumes varied widely, with the lowest point in 2018 at 875 tonnes and the highest in 2019 at 4 500 tonnes, representing a 5.1-fold difference. In 2020, Tanzania's exports of tea in packings of 3 kg or less amounted to 1 359 tonnes, reflecting a sharp decline of 69.8% from the previous year. The largest increase occurred in 2019, with a surge of 414.3%.

Annual dynamics of product's exports from Tanzania in kind, 2017-2020, t

From 2017 to 2020, the United Kingdom, Kenya, and South Africa were the three main markets for Tanzania's tea exports in packings of 3 kg or less, collectively accounting for 71.0% of total exports in volume terms.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Tanzania in kind, 2017-2020

Exports in value, K $ US

Market performance exhibited notable volatility during this period. Export values fluctuated significantly, with the lowest recorded in 2018 at 1 249 thousand US dollars and the highest in 2019 at 7 645 thousand US dollars, a 6.1-fold difference. In 2020, the value of tea exports in packings of 3 kg or less from Tanzania was 1 981 thousand US dollars, marking a sharp decline of 74.1% compared to 2019. The largest increase was in 2019, with a jump of 512.0%.

Annual dynamics of product's exports from Tanzania in value, 2017-2020, K $ US

Between 2017 and 2020, the United Kingdom, Kenya, and South Africa were the principal buyers of Tanzania's tea in packings of 3 kg or less in value terms. The United Kingdom accounted for 40.7% of exports, Kenya for 17.0%, and South Africa for 13.6%, together making up 71.3% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Tanzania in value, 2017-2020

Imports tea in packings ≤3 kg to Tanzania

Imports in kind, t

After increasing for two years, Tanzania's imports of tea in packings of 3 kg or less declined. In 2020, the country imported 85 tonnes, down by 9.9% from the previous year. Over the period from 2017 to 2020, imports grew by 73.5%, with a compound annual growth rate of 20.2%. The highest import volume was recorded in 2019 at 94 tonnes, while the largest increase occurred in 2018 with a rise of 67.8%.

Annual dynamics of product's imports to Tanzania in kind, 2017-2020, t

From 2017 to 2020, Kenya was the primary source for Tanzania's imports of tea in packings of 3 kg or less, accounting for 83.6% of total imports in volume terms, with other destinations playing a much smaller role.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Tanzania in kind, 2017-2020

Imports in value, K $ US

Tanzania's imports of tea in packings of 3 kg or less increased for the third consecutive year. In 2020, the import value was 1 981 thousand US dollars, up by 11.0% from the previous year. Over the period from 2017 to 2020, imports rose by 94.1%, with a compound annual growth rate of 24.7%.

Annual dynamics of product's imports to Tanzania in value, 2017-2020, K $ US

Between 2017 and 2020, Kenya was the nearly exclusive supplier of tea in packings of 3 kg or less to Tanzania, representing 93.2% of total imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Tanzania in value, 2017-2020