Rising Demand for Tea, Government Focuses on Boosting Exports

27 September 2024, New Delhi: The demand for tea produced in India is growing both domestically and internationally, prompting the central government to focus on increasing exports.

M. Muthukumar, Executive Director of the Tea Board, stated that India aims to export 400 million kilograms of tea by 2047, with value addition. Addressing the United Planters Association of South India’s 131st annual conference, he emphasized the importance of maintaining stable exports while exploring new markets, despite the increasing domestic consumption of tea.

Tea exports have remained steady at around 200 million kilograms for decades, while domestic consumption has surged significantly. In 1950, tea exports were 201 million kilograms, rising to 232 million in 2023, and production increased from 278 million kilograms to 1,394 million in the same period. Meanwhile, domestic consumption rose from 77 million kilograms in 1950 to 1,162 million in 2023.

Muthukumar highlighted the need for greater efforts to meet both domestic demand and export goals. He stressed the importance of strengthening research and development, improving quality testing to meet global standards, and increasing production.

India is the world’s largest producer of black tea, accounting for about 20% of global tea production and is the fourth-largest exporter with a 12% share. The vision for the tea sector includes maintaining production and improving export value through value addition.

Key Initiatives for 2024:

• Promoting organic farming and reducing the use of chemicals in tea production.
• Continuous promotional campaigns to boost domestic consumption.
• Encouraging mechanization in farm practices by the organized sector to reduce costs and increase productivity.
• Establishing world-class integrated tea parks.
• Creating a global e-marketplace for direct sourcing of tea.

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