The price of tea is highest in two and a half years

The price of tea is highest in two and a half years

The increase in price comes after crops of black tea in Kenya were affected by adverse weather conditions. Kenya is the world's largest exporter of black tea, and it was hit by drought and severe frosts earlier this year. The country's annual production of tea is expected to fall by 17 million kilos, to 360 million kilos.

India and Sri Lanka, two of the other main black tea exporters, have suffered a severe monsoon season, leading to doubts about their production abilities.

Kaison Chang, secretary of the intergovernmental group on tea at the UN Food and Agriculture Organisation, said: "Indications are that the price is going to go up pretty high".

He also said demand for tea has risen in India, which has traditionally been an exporter of tea, and this has also contributed towards the price increase.

However, according to traders, the UK has apparently stocked well up on tea in the past few months, so time will tell how this rise will affect consumers.

Emily Bancroft


Tagged in