Indian Tea Industry

Dual structure in tea industry has to be viable: Assam chief secretary

The existing dual structure in the tea industry - the presence of small and large organised growers - has to be viable for long-term sustenance, Assam Chief Secretary Ravi Kota said. Assam, the largest tea-producing state in India, contributes nearly half of the country's annual crop. "The dual structure, the presence of large organised players and small tea growers (STGs), has to be viable and they must coexist without undercutting each other", Kota said at the annual general meeting of the Indian Tea Association (ITA) here on Thursday evening. He said the large organised sector has to fulfil certain welfare obligations under the Plantation Act, which the STGs do not have to follow suit. "Both the segments have to be viable and stay put in the country", he said. STGs contribute to more than 50 per cent of India's tea production annually. Kota also called for the need for a minimum sustainable price for tea, and said a model should be chalked out which is fair. In the case of te

Life beyond chai: Climate change may push India to Sri Lankan, Nepali tea

The failure to develop a powerful Indian tea brand in global markets reflects a generic weakness of Indian industry in general

India faces research funding gap in tea sector, says industry body

An association of the tea industry has claimed that there is a research funding gap in India for the development of the crop, with the country spending Rs 30 crore as compared to China, the largest producer of tea, investing over Rs 110 crore annually. Tea Research Association (TRA), engaged in R&D of the sector, is facing serious funding challenges, its chairperson Nayantara Palchoudhuri said, calling for a greater industry participation to stave off the crisis. "Over 50 per cent of the member entities are not contributing their dues, which has resulted in funding shortfalls," she said at the annual general meeting of TRA here on Friday. "China, the largest producer of tea in the world, spends Rs 110 crore annually on the crop, while India invests only Rs 30 crore. There is a big research funding gap in India," she said. The government and large estates should step up their contribution to tea research, she said. To address the resource constraints, she called for setting up a ..

Indian tea industry concerned over higher US tariff, exports likely to hit

The tea industry in India on Monday expressed concern over the imposition of higher tariffs by US President Donald Trump, stating that the hike in levy is likely to have an impact on exports of the beverage to that country. Leading industry body Indian Tea Association (ITA) said the US is a significant market for Indian tea. In 2024, the US had imported 17 million kilograms of tea from India, while the shipment to America stands at 6.26 million kilograms till May this year, according to the industry body. The additional 25 per cent tariff by the US on Indian products for the country's purchases of Russian oil came into effect on August 27, bringing the total amount of levy imposed on New Delhi to 50 per cent. The tea industry association said that the recent imposition of 50 per cent tariff on Indian goods would be a "limiting factor for exports of the beverage to the US". The association said that persistent decline in tea prices, influx of imports and export market volatility po

India's tea production dips 9 % to 133.5 million kg in June: Tea board data

India's tea production dipped 9 per cent to 133.5 million kg in June as compared to the same month of the previous year, according to official data. In June 2024, the country had produced 146.72 million kg of tea, according to data released by the Tea Board. The decline in production was caused by adverse weather conditions and pest attacks, said the Indian Tea Association. Production in North India, comprising West Bengal and Assam, declined to 112.51 million kg in June. It was 121.52 million kg in June last year. Production in South India during June also declined to 20.99 million kg, as against 25.20 million kg in the same month of 2024. Big and organised planters produced 55.21 million kg in June, a decline from 68.38 million kg in the same month of 2024. Production by small growers stood at 68.28 million kg during the month, a dip from 78.34 million kg in June last year. The production volume of the CTC variety was 117.84 million kg, followed by orthodox at 13.82 million kg

Indian tea industry at crossroads as it battles multiple challenges: ITA

Indian Tea Association (ITA), a leading body of planters, on Wednesday said that the industry is grappling with multiple challenges and stands at a critical crossroad in 2025. ITA said in a statement that the industry is facing significant headwinds in production shortfall, decline in price realisation and influx of imports, which is having a bearing on the growth trajectory. Production of the crop witnessed a significant production shortfall in 2024, with country-wide levels dropping by 109 million kilogrammes from 2023. This shortfall in production was due to unfavourable weather conditions and pest attacks in the gardens, ITA said. According to the association, the poor production levels of 2025 is a big concern for the big growers in West Bengal and Assam. The Darjeeling tea industry also remains a major cause for concern, with production levels lagging 10.34 per cent behind 2024 levels. ITA said an average rise of daily temperature of two degrees centigrade and reduced rainfal

Makaibari tea estate owner ups branded play with British buyout deal

For Luxmi, the Brew Tea deal ticks key boxes in its strategy, mainly, focusing on quality and branding

Israel-Iran tensions cloud India's tea export prospects in West Asia

Strong demand has lifted orthodox tea prices but exporters worry as Israel-Iran flare-up threatens disruptions in key West Asian markets like Iran and Iraq

Tea exports from India rise 9.92% to 254.67 mn kg in 2024 on higher output

Tea exports from India increased by 9.92 per cent at 254.67 million kg, from January to December 2024, against 231.69 million kg in the previous calendar year. According to the latest data released by Tea Board, production in the north Indian estates during calendar 2024 stood at 154.81 million kg, as compared to 141 million kg in the preceding period from January to December 2023, registering a rise of 9.79 per cent year-on-year. In south India, production volumes from January to December 2024 stood at 99.86 million kg, as against 90.69 million kg in the previous calendar of 2023, registering a rise of 10.11 per cent year-on-year. Tea Board also released provisional data for the period between January and March 2025, where the all-India production during the three months stood marginally higher at 69.22 million kg compared to 67.53 million kg in the preceding similar period year-on-year. The production in north India during the three months, from January to March 2025, stood 14.38

International Tea Day 2025: Know history, significance, quotes and more

International Tea Day is celebrated every year on May 21. It is the most consumed beverage across the world after water. Know more about its history and significance

Tea industry flags concern over greenfly attacks resulting in crop loss

The Tea Research Association (TRA) on Friday expressed concern over greenfly attacks affecting the crop in Assam and West Bengal, and said it has emerged as a major threat over the past two years. TRA, an institute set up for research and development of the industry and primarily funded by the Tea Board, said the sap-sucking insect has caused significant damage to tea plants, particularly during the dry months, leading to yield reduction of up to 55 per cent in certain regions. Secretary of TRA Joydeep Phukan said these infestations are particularly devastating during the second flush period of May to July, a time when the tea gardens earn over 30 per cent of their annual revenues due to high quality and demand of the crop produced during this phase. "Moreover, there are growing concerns about possible invasion of modified or more aggressive greenfly strains, especially in the tea plantations located near the international borders," Phukan said. Former chairman of Tea Board P K ...

India's tea exports touch highest levels, but rising imports a concern

In 2024, India took the third spot in tea exports, pipping Sri Lanka after exporting 254.67 million kg (mkg) of tea, up from 231.69 mkg in 2023

Small tea growers hopeful of being treated at par with farmers: CISTA

Small tea growers (STGs) across the country expressed hope that they would be treated at par with the farmers for availing benefits under various welfare schemes meant for the agriculture sector, president of Confederation of India Small Tea Growers Association (CISTA), Bijoy Gopal Chakraborty said on Monday. There are nearly 2.5 lakh STGs in the country contributing to more than 51 per cent of total tea production owning less than one acre of land. CISTA said that in the 188th report of the Parliamentary Standing Committee on Commerce, the panel is of the view that STGs should be considered at par with the farmers under various welfare schemes for the agriculture sector like Pradhan Mantri Fasal Bima Yojana and (PMFBY) Pradhan Mantri Krishi Sinchai Yojana (PMKSY) among others. The committee recommended that these recommendations should be taken up with the commerce ministry to extend such essential schemes to the STGs, he said. "We are hopeful that the commerce ministry will respon

Assam tea body welcomes proposal for AI-driven, blockchain auction system

The North East Tea Association (NETA) on Tuesday welcomed the Assam budget's proposal for an AI-driven, blockchain-based tea auctioning system in the state. It also lauded the extension given to the exemption of green leaf cess for another two years. "The proposal in the state budget presented on Monday for an AI-driven, blockchain-based tea auctioning system is an excellent initiative and we welcome this step of the government," NETA advisor Bidyananda Barkakoty said on Tuesday. According to the budget proposal, the Assam government will work with tea industry stakeholders to introduce India's first AI-driven, blockchain-based tea auctioning system to enhance transparency and efficiency. The digital platform will revolutionise the tea trade by ensuring secure transactions and fair pricing. The initiative will strengthen Assam's position as a global leader in the tea industry, it said. Barkakoty pointed out that a blockchain auction is a decentralised, transparent and tamper-proof

ITA submits white paper on Darjeeling tea to WB govt, highlights challenges

Senior officials from the association met West Bengal's labour minister Moloy Ghatak on Tuesday and handed over the white paper

Tea industry witnesses overall production fall, rise in exports in 2024

The tea industry is likely to witness a fall in total production by over 100 million kg till the end of this year due to erratic weather conditions coupled with early annual closure of gardens, resulting in an increase in cost per kg for planters, stakeholders said on Monday. However, the silver lining this year was better price realisation and growing exports. As compared to around 1,178 million kg output during the first 10 months of 2023, the country produced around 1,112 million kg of tea in the January-October period of the current calendar year, while exports were expected to touch 240-250 million kg in 2024, up from around 231 million kg in the previous year, they said. The production is down by around 66 million kg during the January-October period in 2024, while there is expected to be a dip in production by another 45-50 million kg as plucking has been stopped after November, Indian Tea Association chairman Hemant Bangur said. Despite geo-political challenges and currency

From the humble chai to boutique teas, a beverage for all seasons

India is home to some of the most exquisite and premium teas, cherished for their unique flavors, but the humble chai holds its own special place even among aficionados

Asian tea producers eyeing 'untapped' African mkt for exports: ATA chairman

Tea producers of Asia are now targeting the 'untapped' African market to shore up exports for which they plan to work out a strategy in this regard. Hemant Bangur, chairman of Asian Tea Alliance (ATA), said there is a need to tap the African market. ATA countries include India, Bangladesh, Indonesia, Nepal, and Sri Lanka. "Africa is a huge untapped and unpenetrated market. The existing export markets of Europe have become saturated. Asian tea producers consider Africa as a focussed market and we will work towards this", Bangur, also the chairman of the Indian Tea Association (ITA), told reporters. Bangur said that the ATA also strongly discourage the promotion of genetically modified clones in the tea industry. "The alliance countries will collaborate to produce more climate resilient clones to produce sustainable tea. The industry also plans to promote regenerative agriculture which will focus on water retention and carbon sequestration," he said. Bangur said that there is a glo

Tea industry on edge as Iran-Israel tensions threaten export revival

The biggest worry for Indian tea exporters when the Israel-Hamas conflict flared up in October 2023 was that it would spill over to other West Asian countries, particularly Iran

Tea industry seeks higher Rodtep rates to make exports competitive overseas

The tea industry has sought higher rates under the RoDTEP scheme to make exports more competitive in the overseas markets. Leading industry body Indian Tea Association (ITA), in its pre-budget memorandum, said that the present RoDTEP rate for bulk tea is 1.7 per cent (free on board) subject to a cap of Rs 6.70 per kilogram. The association urged the government to increase the reward base rate under the Remission of Duties and Taxes on Exported Products (RoDTEP) for black tea in bulk to remain competitive in the international markets. The RoDTEP scheme ensures that exporters receive refunds on embedded taxes and duties that were previously non-recoverable. Another industry body Tea Association of India (TAI), in its pre-budget proposal submitted to the government, said the RoDTEP rate for tea should be higher than the earlier MEIS (merchandise exports incentive scheme) of five per cent to enable Indian tea to retain its competitiveness in the global market. Since its inception in .