India eyes larger export share as Sri Lankan tea faces challenges

During January-May this year, Indian exports to Russia stood at nearly 18.7 million kg, compared with Lanka's 14.2 mn kg

With Sri Lankan tea producers facing a three-pronged challenge, Indian firms are hoping to get a larger share of markets where the former is strong.

Between January and June this year, export prices of the orthodox tea variant from the island country averaged $3.83 a kilo, while prices for the Indian export of the same variant were $2.87 a kg. However, the cost of production of orthodox teas in Sri Lanka is nearly $5 a kg; compared with just $2.6 a kg in India. This makes Lankan production unviable. Indian producers also get tax incentives for export.

"Wages in Sri