Uganda's Tea Value Drops As Competition Stiffens At Auction

The value of Uganda's tea has fallen at the Mombasa Auction Market to $1.09 per kilogramme compared to last year's $1.34 per kilo, a Uganda Tea Association (UTA) official said recently, reports, David Muwanga.
`Uganda's position in tea export is being threatened by the increasing volumes of tea at the auction market in Mombasa,` Isaac Munabi, the UTA executive secretary, said in an interview.

He said countries were producing more while new entrants like Vietnam had increased supply.

`There is need for the Government to help local industries become competitive by reducing the cost of doing business,` Munabi said.

The tea sector was ranked the fourth largest foreign exchange earner during 2004. (mes)

Source : http://allafrica.com July 27, 2005