(MENAFN- KNN India)
New Delhi, Dec 24 (KNN) India's tea exports are poised to achieve significant growth this year, defying global geopolitical challenges.
Industry insiders project total shipments to reach between 245 and 260 million kilograms (mkg), up from 231.69 mkg in 2023 and 231.08 mkg in 2022.
The export boom is driven by increased demand from Iran and Iraq, with additional growth observed in the United States and Russian markets.
Anshuman Kanoria, Chairman of the Indian Tea Exporters Association (ITEA), emphasised the resilience and adaptability of Indian exporters amid complex global conditions.
“This year, exports will increase substantially compared to last year, potentially reaching 260 mkg. Growth in overseas markets, especially Iran and Iraq, has been remarkable,” Kanoria said.
He attributed this success to exporters' proactive strategies and the Tea Board's efforts to enhance quality and eliminate sub-standard tea.
Government initiatives to ensure pesticide-free tea have been instrumental in boosting shipments, particularly to Iran and Iraq, where quality compliance is critical.
While higher export volumes are encouraging, Kanoria noted a slight dip in price realisation due to increased exports to lower-priced markets.
Exporters have also managed to maintain their foothold in key markets like Saudi Arabia, Syria, and China. However, industry leaders believe China's potential for Indian tea remains underutilised.
Dipak Shah, Chairman of the South India Tea Exporters Association, corroborated the positive trend, estimating exports to hover between 245 and 250 mkg this year.
Shah highlighted that South India has emerged as a significant supplier to Iraq, which has shown strong demand for CTC tea, alongside orthodox tea markets like Iran and Russia.
Despite the export surge, challenges loom for India's tea production in 2024. Last year's total production stood at 1,393.66 mkg, but projections indicate a potential decline.
As India navigates evolving global dynamics, the tea sector's resilience and adaptability underscore its strategic importance in sustaining economic and agricultural growth.
(KNN Bureau)
MENAFN24122024000155011030ID1109026366
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.