Nairobi, April 6 - Kenya's tea crop is likely to earn the east African nation slightly more in 2009 than the 62 billion shillings ($773.9 million) it brought in last year, regulator Tea Board of Kenya said on Friday.
Sicily Kariuki, managing director of the board, attributed the forecast to higher prices from an expected 10 percent drop in production on the back of dry weather in tea growing areas.
Kenya is the world's biggest exporter of black tea. It produced 345 million kgs in 2008.
"We do project we are going to be at least 10 percent down in terms of volumes," Kariuki told reporters.
Tea is the No. 2 foreign exchange earner for Kenya after horticulture.
"We expect earnings to be 65 billion shillings or thereabout. Prices are going up because of reduction in production," she said. "Kenya is one of the pacesetters in price because of the volumes we handle."
The fall in output forecast by the board is double what it had projected last month. February output fell 11 percent and January recorded a 14 percent drop in production, the board's figures showed. ($1=80.11 Kenyan Shilling)