STiR coffee and tea magazine

26 STiR coffee and tea | 2026 Quarter 2 Summer (Jun/July/Aug) IRAN OMAN MUSCAT ABU DHABI MANAMA DOHA SAUDI ARABIA UNITED ARAB EMIRATES QATAR BAHRAIN Persian Gulf Gulf of Oman S tr a it o f H o r m uz S By Seth Griffin Iran War Severely Disrupts Tea Trade and Production ince the US-Israel war against Iran launched on February 28, four of the world's top tea-exporting countries — Kenya, Sri Lanka, India, and Vietnam — have faced disruptions to tea production and exports, leaving shipments valued at tens of millions of dollars in limbo, sending shockwaves through the economies in each country, and impacting the livelihoods of tea industry workers around the world. Kenya Kenya's international shipping routes encountered immediate delays at the start of the conflict, but have recently shown signs of recovery thanks to logistical reroutes through the Red Sea. Around 267 shipping containers filled with tea were stuck in the Kenyan port of Mombasa as of March 20, according to warehouse manager Erick Onyango in an interview with Al Jazeera. "The warehouse is full right now because the teas are not moving," he noted. The sudden pause in exports forced Kenyan companies to furlough workers until normal shipping could resume, allowing the port to clear its backlog. Meanwhile, auc- tion rooms, typically bustling with activity, sat eerily empty. However, in an April 23 response to STiR Coffee and Tea inquiries, Tea Board of Kenya CEO Willy K. Mutai offered an optimistic outlook for Kenya's tea industry this year, noting that, although "the KTDA office in Dubai, which facilitates re-exports to Iran and CIS markets, has experienced some operational challenges, trade continues to flow to key destinations such as Pakistan and to CIS countries through direct ship- ments from Nairobi. Exports to Saudi Arabia remain unaffected, as shipments utilized Red Sea routes that bypass higher-risk areas." Mutai also emphasized that Kenyan teas are still maintaining "market access [to] traditional destinations — including Pakistan, Egypt, the United Kingdom, and the United Arab Emirates," stating that these markets are "still importing Kenyan tea at normal levels." Fuel shortages, oil price spikes, and shipping blockades caused by the US-Israeli war against Iran are severely affecting several of the world's top tea producers. Photo credit: Seth Griffin In late February, Iran's Islamic Revolution- ary Guard Corps (IRGC) announced the closure of the Strait of Hormuz, causing major supply disruptions. According to Mutai, indirect risks pose the greatest threat to Kenya's tea trade — "particularly rising global fuel costs, which may increase production and freight expenses, as well as the po- tential for port congestion that could af- fect delivery timelines." The Tea Board of Kenya identifies Iran as one of the top importers of Ke- nyan tea, with imports totaling around $32.8 million in 2024. Pakistan imported $557.1 million worth of tea in the same year, accounting for 34.7% of Kenya's total tea export volume. Sri Lanka Sri Lanka's tea industry continues to struggle with fuel shortages, increased production costs, and export challenges due to the ongoing conflict. In early March, Sri Lankan tea exports faced congestion at local and intermediary ports. Reports of packed warehouses, full containers unable to ship, and shipments being returned to senders led the Minister of Ports and Civil Aviation Anura Kara- nathilaka to recommend that tea traders hold back on bringing further tea ship- ments to harbors, according to a report by Sri Lanka Guardian. Thus far, Sri Lankan tea shipments to Iran have yet to resume. Meanwhile, Sri Lanka's tea industry is still recovering from the devastation of Typhoon Ditwah in November 2025, which washed out roads and damaged electrical infrastructure, compounding difficulties for this year's tea production. Dave Williams, owner of Gammad- uwa Bungalow and Estate in central Sri Lanka, commented that as of April 16, Sri Lanka's tea industry continues to face fuel

• Cover