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Kenya tea exports wary of losing Middle East market 

David Mageria  
Nairobi, Oct 22: Kenyan tea exporters say they are worried about losing key Middle East markets due to tighter government visa regulations on traders coming from that region.

The chairman of the East African Tea Trade Association (EATTA), George Waireri, said on Friday the industry was concerned that it took six weeks for buyers from leading Pakistan market to obtain Kenyan visas.

``Difficulties experienced in obtaining visas by businessmen coming from most tea importing countries ... are frustrating their efforts to come to Kenya,'' he said in a speech at an annual dinner for the tea industry players.

``We would appreciate (government) efforts to ensure that this situation does not rob us these very important customers.''

Pakistan was Kenya's number one tea buyer last year, importing 25 per cent of total exports. In the eight months to August 1999, it imported 43.57 million kilos to stand second after Britain which imported 45.69 kilos during the same period.

Egypt is ranked as the third largest market followed by Sudan. Other key markets in the Middle East include Afghanistan, Yemen and the United Arab Emirates.

Kenya is the world's leading exporter of black tea and the third largest producer. Tea is also the country's leading export earner.

Nairobi toughened regulations on visitors from most Middle Eastern countries after a bomb attack aimed at the American embassy in August 1998 killed more than 200 people and injured 5,000 more.

The bombers are suspected of having links to Islamic fundamentalist groups in the Middle East. Investigators say they were able to enter the country due to lax immigration procedures and largely planned the attack from within Kenyan borders.

Traders say tea prices have been stagnant this year on dwindling activity from the Middle East market although an anticipated decline in production has capped huge price drops.

Tea production is expected to fall to 235 million kilos in 1999 due to drought compared to 294 million kilos last year.

The EATTA said Pakistan Export Promotion Bureau is also concerned that Kenya had imposed additional tariffs on rice imported from Pakistan as a measure to guard against dumping.

``We should listen to them because if they decide to retaliate we stand to lose more,'' said Waireri.

Waireri also asked the government to improve the road and rail networks and take action to stop thefts of tea in transit and at Mombassa Port.

Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.

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