India's Tea Industry | 21 Nov 2024

Source: BS 

The Tea industry in India has experienced a boost in profits during the September quarter, driven by higher prices despite a decline in production caused by climate change. 

  • A dry spell and erratic rainfall led to a production loss of 76.73 million kg (mkg) compared to 2023. 
  • Policies of Tea Board of India including early garden closures and quality compliance, helped align stakeholder interests and improve market signals, while cost management and quality focus boosted profitability for some companies. 
  • India is one of the top 5 tea exporters, accounting for 10% of global exports. In 2023-24, it exported 250.73 million kg of tea, with Assam, Darjeeling, and Nilgiri teas renowned globally. 
  • Tea Board of India: It was established under the Tea Act of 1953 as a statutory body of the Central Government under the Ministry of Commerce, has its head office in Kolkata, West Bengal, also has three overseas offices in London, Dubai, and Moscow. 
  • The Indian Tea Association established in 1881, cautioning that rising wages and production costs may erase fourth-quarter (October - December) profits due to halted production.

Read more: Tea Board of India