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DAILY NEWS ANALYSIS

  • 16 November, 2022

  • 6 Min Read

The Indian Tea Industry

The Indian Tea Industry

  • A Union Minister recently spoke at the International Small Tea Grower's Convention of the Indian Tea Association (ITA).
  • The ITA is the oldest and most prestigious association of Indian tea growers, having been established in 1881. It has had a multifaceted impact on creating policies and getting things moving in the direction of the industry's development and expansion.

How is the Indian tea industry doing right now?

  • India is the second-largest tea producer in the world.
  • Assam and West Bengal generate the majority of the nation's yearly tea production, which will account for 83% of the total in the northern region of India in 2021–22.
  • Assam's two tea-growing areas are the Assam valley and Cachar.
  • The three main tea-producing regions in West Bengal are the Dooars, Terai, and Darjeeling.
  • The biggest producing states are Tamil Nadu, Kerala, and Karnataka, which together account for 17% of the nation's overall production.
  • For the fiscal year 2020–2021, India produced 1,283 million kg of tea.
  • India is one of the top tea-drinking nations in the world, with domestic consumers consuming 80% of the nation's tea production.
  • India ranks among the top 5 global exporters of tea, accounting for 10% of global exports.
  • India exported tea for a total of approximately USD 687.9 million in 2021.
  • India sends tea abroad to more than 25 different nations.
  • Some of the top countries importing tea from India are China, Russia, Iran, the United Arab Emirates, the United States, and the United Kingdom.
  • India exported 201 million kg of tea in total between 2021 and 2022.
  • Black tea accounts for around 96% of all tea exports from India and is the most common type.
  • Black tea, regular tea, green tea, herbal tea, masala tea, and lemon tea are among the varieties of tea exported through India.
  • Black tea, normal tea, and green tea account for roughly 80%, 16%, and 3.5% of the total amount of tea shipped from India, respectively.
  • The teas from Assam, Darjeeling, and Nilgiri in India are among the best in the world.
  • Due to strong geographical indications, significant investment in tea processing facilities, ongoing innovation, an expanded product mix, and strategic market growth, Indian tea is among the best in the world.

Tag for Geographical Indication (GI)

  • The first GI tag product was Darjeeling Tea, also known as the "Champagne of teas" due to its floral aroma.
  • Green and white tea, the other two Darjeeling tea varieties, also have GI tags.
  • The Indian tea industry is being developed and promoted by the Tea Board of India.

What is the Tea Board of India?

  • In order to advance the Indian tea business, a statutory body under the Ministry of Commerce was established in 1953. It began operating in 1954.
  • Vision: The organisation set up a number of programmes and plans with the goal of making the nation a major producer of tea on a global scale.
  • Members: The Board is made up of 31 people (including the Chairman), including members of Parliament, tea growers, traders, and consumers as well as government officials from the major tea-producing states and trade unions.
  • Every three years, the Board is reconstituted.

Bureaus in India:

  • The board has 17 other offices spread out over India in addition to its headquarters in Kolkata.
  • Foreign Offices: The Tea Board currently has two abroad offices, one each in Moscow and Dubai.

What initiatives has the Indian Tea Board taken?

Advertisement for boxed Indian-made tea

  • The program offers assistance with promotional efforts, including up to 25% of the cost reimbursement, exhibition in international department stores, creation of product literature and websites, and up to 25% of the cost of inspection fees reimbursed.

Subsidies for Domestic Exporters:

  • The Tea Board also offers domestic exporters financial assistance so they can attend international expos and fairs.

Tea Promotion and Development Program:

  • The Tea Board of India introduced this programme in November 2021 for the years 2021–26.
  • This program's goal is to increase India's productivity and quality.

How might the Indian tea industry be encouraged to expand?

  • The One District and One Product (ODOP) program can aid in promoting Indian Tea's fame.
  • The "AROMA" of tea needs to be improved in order for the industry to become profitable, viable, and sustainable:
  • Support small farmers to raise production to satisfy domestic and international demand while improving quality and sustainability.
  • Create infrastructure to boost exports and concentrate on high value markets like the EU, Canada, South America, and the Middle East to re-energize.
  • Promote GI tea and organic tea using brand marketing and promotion.
  • Modernization: To help local supply networks be strengthened and tea producers to become self-sufficient
  • Adaptability: Focus on the importance of a risk proof ecosystem, that is, the need for sustainable solutions to make tea plantations meet the challenges of climate change.

Source: PIB


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