Blog Post

22 Nov
By: root 0


KEPSA hosted the Tea Stakeholders B2B Meeting at Serena Hotel last Friday in a forum that brought together the Kenyan tea industry players ranging from tea growers, traders and exporters and the Iranian counterparts led by H.E. Dr. Jafar Barmaki, the Ambassador to the Islamic Republic of Iran to Kenya.

The meeting sought to explore tea industry market opportunities in Iran, on which the private sector can leverage to spur bilateral trade, whilst fostering mutually beneficial B2B and market linkages. The forum, which was convened jointly by KEPSA through ASNET and the Embassy of the Islamic Republic of Iran, discussed pathways towards expanding product market and access for Kenyan tea in the Islamic Republic of Iran.

The meeting agreed on the following items on the tea industry trade between the two Countries:

  1. The US sanctions
    1. The US sanctions affects the Tea trade with Iran with challenges on money transfer and related issues.
    2. KEPSA / ASNET shall work with stakeholders to find innovative ways for members and traders to send their money back to Kenya.
    3. KEPSA / ASNET and the Embassy of Iran to explore ways of identifying a non-sanctioned bank in Iran with trade affiliations with Kenya to shorten the curve and table proposals to the Ministry of Finance and Ministry of Agriculture.
    4. KEPSA / ASNET and KTDA shall also engage to find ways of how traders can exchange hard cash repatriations for machinery imports to reduce the money transfer challenges by tea traders.
    5. KEPSA /ASNET and the Iranian Embassy shall engage with Equity Bank to review their proposals on helping traders with money transfer for the entire agricultural value chain trading with Iran and vis versa.
    6. Iran Embassy also conveys concerns of Kenyan traders to Iranian authorities, where KEPSA will organize a stakeholder’s de-briefing session for members to receive and review the feedback and agree on the way forward.
  2. Airline and Shipping logistics
    1. KEPSA /ASNET and the Iran Embassy work jointly on having direct passenger and cargo flights between two capitals.
    2. KEPSA / ASNET and the Iran Embassy shall work together to explore if the current single vessel shipping to Iran per month can be increased to three in a month.
    3. The Iran Embassy shall work with KEPSA / ASNET to review how to speed up clearing and forwarding of cargo on arrival in Iran since it remains a challenge even with proper documents.
  1. Direct sales of TEA.
    1. KEPSA and KTDA shall explore if KTDA can start selling directly to exporters as currently the TEA Act of 2020 restricts this.
    2. KEPSA / ASNET to work with stakeholders to find ways to improve the quality dividends in Kenyan tea exported to Iran within the country’s set production, processing, and documentation guidelines.
    3. Iranian Ambassador to engage with his counterparts on facilitation of exports for clear responses on the Kenyan and Iranians petitions to enhance collaboration and clarity on which way to work for the benefit of all.
  2. Tea Machinery and processing equipment
    1. KEPSA / ASNET and the Iran Embassy to engage with Iranian Agricultural equipment suppliers to create awareness among members on opportunities.
    2. KEPSA /ASNET and Iran to work with the KNCCI to organize a supplier showcase and exhibition on the Tea and larger agricultural sector on machinery, packaging and value addition.

Leave a Comment

Your email address will not be published. Required fields are marked *