Our Estates, Our Teas

McLeod Russel Uganda annually produces 21 million kilos of tea from its six estates situated in south western Uganda. These are, Bugambe and Kisaru Tea Estates in the Kikuube District, Muzizi in Kagadi, Mwenge in Kyenjojo, Kiko in Kabarole and Ankole in Bushenyi. The Company’s headquarters are located at Mwenge Tea Estate in the Kyenjojo District.

Each of its Tea Estates has running factories, with Kisaru Tea Estate having a recently built modern state-of-the-art factory, which was commissioned in early 2020.

The Company has over 3,700 hectares under tea (and, still expanding); over 1,300 hectares under eucalyptus and over 1,800 hectares of well protected natural forests around its Estates.

In 2022, out of the over 75,000,000kgs of 'Made Tea' that was produced in Uganda, MRUL contributed 19,634,924kgs (26.18%), making it the largest single producer and exporter of tea in Uganda.

MRUL is also supporting Out-growers around its estates through a partnership in developing their tea farms and buying the green leaf from them. Out of the 19,634,924kgs produced in 2022, 8,864,320kgs (45%) was from the Out-grower contribution.. This has improved the Outgrowers income through improved productivity, making MRUL a key and valued partner in the Operation Wealth Creation programme. Outgrower leaf is processed and marketed under the marks Kalinzu, Kibale and Rwenzori.

From 2010 onwards, McLeod Russel Uganda embarked upon a vigorous development program: up-gradation of factories, expansion of areas under tea and construction of labour and staff housing with associated welfare programs. After the expansion of three factories was done it was felt that additional machinery would be required to accommodate the leaf available. Ankole Factory was expanded in 2017 and Mwenge and Kiko got additional lines and withering machines in 2018 to enhance production. In 2020, an additional second line went on stream at Muizizi. Consequently, MRUL currently has a total of six factories with 16 processing lines.

MRUL received a Gold Award Certificate of recognition – the President’s Export Award – in the Tea & Tea Products category for outstanding export performance in 2018/2019.

The Company maintains and participates in International Standards programmes, for instance, the Rainforest Alliance and ISO 22000:2018 amongst others.

MRUL has taken a leading role in employing advanced tea technologies appropriate to the region and nature of its product and is focusing on quality improvement. The company’s vision is to invest in initiatives to counter the vagaries of the weather, to follow viable agricultural practices and to provide equal opportunity to all employees in a safe and healthy working environment.

Buying Tea

McLeod Russel Uganda Limited only sells the teas that we produce at our own estates.

We offer our teas for sale via the Mombasa Auctions as well as directly — to different buyers across the globe — through direct sale and forward contracts.

For direct sales, we negotiate directly with accredited buyers. Over the years we have built up a reputation for trust and credibility with established buyers to whom we sample our teas to enable them to make their selection. We then negotiate contracts directly with them based on mutually agreed payment and shipping terms..

Delivery terms used are the ones referred to in INCOTERMS 2020, but usually MRUL sells on ex-factory or Mombasa warehouse basis and on FOB Mombasa basis. Payment terms are generally upfront.

MRUL also offers for sale tea privately to local buyers who are also packers. Those teas are generally for local market consumption and, increasingly, also for African markets. For more details please contact our Marketing Office in Kenya or Head Office in Uganda.