Assam tea sector prospects improve

If production figures and price realisation of Assam tea are anything to go by, the industry appears to be back on track.

Tea production has been up by almost 5,696 million kg till April this year. The tea industry has posted a production of 63,706 million kgs till April this year, as compared to 58,010 million kgs during the corresponding period last year.

The price realisation at Guwahati Tea Auction Centre (GTAC) too has been up by nearly Rs. 15 to 19 per kg as compared to last year. For example, the price of per kg CTC tea of Brahmaputra valley, which was on an average at Rs. 71.90 last year, has gone up to Rs. 89.60 this year.

Similar has been the case with orthodox and Barak Valley (south Assam) teas. Auction prices of Assam tea at Kolkata tea auction centre is also up by nearly Rs. 15.

The Assam tea industry is very exuberant as never has been the price difference of two years so much since 1999.

"Indications are that this year will be a good year for Assam tea as far as production and price realisation are concerned," said Depanjol Deka, secretary of Tea Association of India.

He said that after many years the tea industry of the state is doing so good. Deka added that "if this tempo can be pulled till August, we can say that we have overcome the recession."

The tea industry is just praying that unlike last year floods should not wrought havoc this year too.