Tuesday, 02 January 2024 12:17 GMT

Indian Tea Industry Needs A Fresh Push To Regain Growth


(MENAFN- KNN India) New Delhi, Sep 27 (KNN) India's tea industry, one of the country's oldest and most labour-intensive sectors, is facing serious challenges that demand urgent reforms.

The sector is struggling with falling production, weak profits, rising costs, and shrinking export demand.

Climate change, unpredictable rainfall, and rising temperatures have reduced yields in key regions like Assam and West Bengal. In addition, pest attacks and ageing tea bushes are adding to the decline.

Despite being the world's largest tea consumer in absolute numbers, India's per capita consumption remains low. This limits growth opportunities in the domestic market.

On the export front, Indian tea is losing ground due to rising competition from other producing nations and stringent international standards on quality and residues.

This combination of weak domestic demand and export pressure has made it harder for growers and workers to earn sustainable incomes.

Experts believe that the industry requires a multi-pronged revival strategy. Investment in research and development is crucial to develop climate-resilient tea varieties, improve pest control, and modernise farming techniques.

Rejuvenating old plantations, upgrading factories, and adopting modern packaging can also add value and improve competitiveness.

Policy support will play a critical role. Subsidies, minimum guaranteed prices, and financial assistance can help estates and small growers manage rising input costs.

At the same time, simplification of international compliance standards will make it easier for Indian teas to access global markets.

Marketing and branding efforts are equally important to strengthen India's position in speciality teas and to boost awareness among domestic consumers.

If these measures are implemented quickly, the tea industry can not only withstand current headwinds but also chart a path to sustainable growth, benefiting millions of workers and smallholders across the country.

(KNN Bureau)

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