India's tea export declines 21.4% in August

India's tea export in August declined by 21.4 per cent to 16.84 million kg from 21.42 million kg in the corresponding month last year, according to Tea Board of India.

In value terms, the country's total tea exports dipped by nearly 28 per cent to Rs 227.06 crore in August, as against Rs 314.7 crore in the comparable period last year, according to the Board.

Fall in exports is in line with the dip in production during the month as a result of over 12 million kg decline in country's total tea output.

India's tea production in August dipped nearly nine per cent to 122.73 million kg, as against 134.37 million kg in the same month last year due to excessive rain and pest attacks in Assam, the largest tea producing tea state, causing huge crop losses.

Meanwhile, in the first eight months of the current year, India's total tea exports rose by nearly 9 per cent to 124.13 million kg, as against 114.65 million kg in the January-August period of the last year.

India, the world's second largest producer and biggest tea consumer accounts for about 28 per cent of the global output and 14 per cent of the trade. There are about 1,600 tea estates in India. The sector employs over two million people.

India had exported 190 million kg of tea in 2008-09.

The country exports CTC (crush-tear-curl) variety of tea mainly to Egypt, Pakistan and the UK and the premium orthodox variety of tea to Iraq, Iran and Russia.

India faces competition from Kenya and other African countries for exporting CTC tea, while for orthodox variety competition comes up from Sri Lanka and Indonesia.