India Achieves Record Tea Exports Amid Challenges
Record Tea Exports from India
Guwahati, April 30: In a remarkable achievement, India exported 280 million kilograms of tea in the previous financial year, marking the highest export volume ever recorded, according to C Murugan, the Deputy Chairman of the Tea Board. He also clarified that the Jorhat Tea Auction Centre remains operational and will resume its activities shortly.
In an interview, Murugan expressed optimism about the overall tea market in India. He noted that the majority of last year's exports were directed towards countries such as Iran, Iraq, the UAE, and former USSR nations. He highlighted Russia's longstanding role as a key tea importer from India, which led to the establishment of a Tea Board office in Moscow.
However, exports to Iran have been impacted by the ongoing conflict in West Asia, prompting tea exporters to seek alternative markets. Interestingly, China has begun importing Indian tea, despite being a major tea producer itself, primarily focusing on green tea. The country is now looking to import orthodox and CTC varieties from India. Murugan emphasized that Darjeeling tea is regarded as a premium product.
When asked about competition, Murugan acknowledged that Indian tea faces challenges in the global market from Kenya and Sri Lanka, where production costs are significantly lower, allowing them to offer more competitive pricing.
Regarding tea imports, he mentioned that some companies are legally importing tea for blending purposes.
Looking ahead to this year's production, Murugan indicated that the plucking season has just commenced, and the Tea Board anticipates a fruitful yield. While production in North Bengal is promising, he cautioned that an increase in production could lead to a decrease in prices.
Addressing concerns about the Jorhat Tea Auction Centre's status, Murugan reiterated that it has not been shut down. He explained that the center would reopen soon, as the contract with the previous vendor has expired and has not been renewed. The Tea Board aims to standardize operations across the seven tea auction centers in the country. New tenders have been issued, and the new vendor is expected to commence operations in August, coinciding with the reopening of the Jorhat center.