Context:

In 2024, India achieved a significant milestone in the global tea industry by surpassing Sri Lanka to become the world's second-largest tea exporter. According to the Tea Board of India, the country exported approximately 255 million kilograms (Mkg) of tea during the year, marking a 10% increase from the 231.69 Mkg exported in 2023. ​

Key Factors Contributing to India's Tea Export Growth

• • Government Initiatives: The Indian government, through the Tea Board, has implemented several measures to enhance tea production and export. These include the establishment of 352 Self-Help Groups (SHGs), 440 Farmer Producer Organizations (FPOs), and 17 Farmer Producer Companies (FPCs). Additionally, mini tea factories have been set up to promote entrepreneurship and create employment opportunities, particularly for the youth in rural areas. ​
  • Export Policy Support: Favorable export policies introduced by the central government, along with support from state governments, have bolstered the tea industry's growth. These policies have facilitated increased shipments to key markets, including Iraq, which accounted for 20% of India's tea exports in 2024. ​
  • Quality and Variety: India's renowned tea varieties, such as Assam, Darjeeling, and Nilgiri, are celebrated for their unique flavors and superior quality. While black tea dominates exports, representing 96% of total exports, other varieties like green tea, herbal tea, masala tea, and lemon tea also contribute to India's growing international reputation. ​

About Tea:

Tea is a popular beverage made by infusing cured or fresh leaves of the Camellia sinensis plant in hot water.

Tea plants thrive under specific climatic and soil conditions:​

• • Temperature: Optimal growth occurs between 18°C to 23°C. ​
  • Rainfall: Require an annual precipitation of 1,500 to 2,000 mm, with a well-distributed rainfall pattern. ​
  • Humidity: Prefer relative humidity levels between 80% to 85%. ​
  • Soil: Favor acidic soils with a pH range of 4.5 to 5.5, ensuring good drainage. ​
  • Frost Sensitivity: Tea plants are sensitive to frost and should be cultivated in regions where temperatures do not drop below -15°C for extended periods. ​

India stands as the second-largest tea producer globally, following China, and is the largest producer of black tea. The majority of India's annual production comes from Assam (55%) and West Bengal. Notably, 80% of the tea produced in India is consumed domestically, highlighting the country's deep-rooted tea culture.​

The country exports tea to over 25 countries, with key markets including the UAE, Iraq, Iran, Russia, the USA, and the UK. India is now among the top five tea exporters globally, accounting for nearly 10 percent of the world’s total tea exports.

About Tea Board:

Established under Section 4 of the Tea Act, 1953, and constituted on April 1, 1954, the Tea Board of India operates as a statutory body under the Ministry of Commerce and Industry. Headquartered in Kolkata, with overseas offices in Dubai and Moscow, its primary functions include:​

• • Regulating tea production and cultivation.​
  • Enhancing the quality of tea.​
  • Promoting tea domestically and internationally.​
  • Providing financial and technical assistance for cultivation, manufacturing, and marketing.​
  • Supporting research and development to improve production and quality.​
  • Ensuring welfare measures for plantation workers

Conclusion:

Looking ahead, the Indian tea industry is optimistic about achieving the 300 Mkg export mark by 2030. The combined efforts of the government, industry stakeholders, and the resilience of tea producers position India to strengthen its presence in the global tea market in the coming years.