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Time of India
03-07-2025
- Business
- Time of India
Assam tea's 200-year legacy gets global tribute at NY Summer Fancy Food Show
1 2 3 4 5 6 Dibrugarh: In a landmark celebration of India's rich legacy of tea, the Indian Tea Association (ITA) has participated in the Summer Fancy Food Show, 2025, at the Javits Centre, New York, marking the bicentennial anniversary of Assam tea — an industry that has fundamentally shaped the global tea culture and remains a cornerstone of India's agricultural heritage. The three-day event started from June 29 and concluded on July 1. ITA's special participation commemorated two centuries of Assam tea, since its discovery in 1823, when Major Robert Bruce, guided by the indigenous knowledge of Maniram Dewan, first discovered wild tea plants growing in the upper Brahmaputra valley. Today, Assam annually produces 650-700 million kgs of tea, representing more than 50% of India's total tea production, employing over 700,000 workers across various categories. The centrepiece of the commemoration was a specially curated tea lounge, designed to give global buyers, importers and tea connoisseurs the finest experience of Assam tea. The lounge featured prominent exhibitors, including Goodricke Group Ltd, Hindustan Unilever Limited, Tata Consumer Products, Luxmi Tea Co. Pvt Ltd, MK Shah Exports Ltd and Rossell Tea. Visitors at the show not only experienced the sensory appeal of premium teas, but also learned about the industry's commitment to sustainability, innovation and community development. A significant highlight was the B2B networking session held on June 30 at the Consulate General of India, New York. The participating companies showcased a comprehensive range of orthodox and CTC teas sourced from their Assam estates. In 2024, India approximately exported 17 million kg of tea to the US, accounting for around 6.5% of India's total export volume and nearly 14% of US's total tea imports.
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Business Standard
27-06-2025
- Business
- Business Standard
Tea exporters cautiously optimistic as Israel-Iran ceasefire lifts demand
The ceasefire in the Israel-Iran conflict has brought a sense of cautious optimism among Indian tea producers and exporters, who had seen orthodox tea prices slide amid rising tensions. Orthodox tea prices had declined in the wake of the crisis but are now showing signs of recovery, even as exporters and traders reassess risks and the demand outlook. At the Kolkata auctions held this week, the average price of orthodox leaf teas was Rs 290.66 per kg, compared to Rs 269.40 per kg last week. Moreover, 78.55 per cent of the teas on offer were sold at the auction held on June 24 and 25, as against 49.26 per cent last week. However, he added that some shippers had decided to hold back their cargo for a bit to see how the situation develops. 'But the signals are positive.' Indian Tea Association (ITA) chairman Hemant Bangur said the demand environment was uncertain last week. 'But I think that is behind us now. The exporters are back at the auctions covering for quantities they had committed to Iran and the CIS countries. But obviously everybody is cautious,' he said. Traditionally, Iran has been one of the top markets for Indian tea. It is believed to be a 30 million kg (mkg) market. In 2022, tea exports to Iran stood at 22.21 mkg. This dropped to 5.92 mkg in 2023 as Iran stopped registering contracts for Indian tea. In 2024, however, tea exports to Iran increased to 9.24 mkg. But direct export figures to Iran do not fully reflect the size of the market, as a significant volume is routed through the UAE, a major re-exporting hub. Even as prices have recovered from the lows of last week, they are yet to return to levels seen before June 13, when Israel launched a surprise attack on Iran. Himanshu Shah, chairman, M K Shah Exports, said tea prices have improved from last week but remain below pre-conflict levels. The next few weeks will be crucial in determining the direction of the market. M K Shah is one of the largest exporters and producers of orthodox tea in India. Mohit Agarwal, director, Asian Tea Company, said cargo was lying at the Nhava Sheva port in Mumbai. 'The buyers are back and enquiries are coming in. The trade should start from Saturday.' 'This was a temporary setback and the expectation is that the market would go back to pre-war level next week.' The season had started on a strong note for orthodox tea. The average price realised for orthodox leaf at the Kolkata auctions for Sale 17 to Sale 24 was Rs 317.32 per kg, compared to Rs 293.69 per kg in the previous year. Sale 17 was held on April 22, and Sale 24 was held on June 10 and 11. The drop in prices last week, however, prompted some producers to convert to the CTC variety. A large tea producer said, 'The plan was to expand the production of orthodox tea. But right now, we are making more of CTC. If things settle down, we will make more of orthodox.' Orthodox tea is mostly exported. In 2024, India produced 118.67 mkg of orthodox tea out of a total production of 1,284.78 mkg; production of CTC stood at 1,149.21 mkg.
Time of India
20-06-2025
- Business
- Time of India
Tea trade disrupted: Iran-Israel war halts exports; Kolkata shipments pile up
KOLKATA: The Iran-Israel conflict has brought to a standstill all tea exports to Iran, the second-largest recipient of Indian tea after Russia. Consignments that have already left the city for Iran are now piled up at Mumbai's Nhava-Sheva port. The sudden break has come at a time tea exports to Iran saw a major revival in 2024 after a muted 2023. Last year, Indian tea exports to Iran grew five-fold to 31 million kg from 5.9 million kg in 2023, when US sanctions against Iran had led to a sharp drop. In 2022, the export figure was 22 million kg. Iran has a 20% share of India's total tea exports, say officials. 'Every year, we export 5 million kg of tea to Iran. But our consignments are lying in Nhava-Sheva since June 14 as the shipping route to Iran is temporarily suspended because of the war,' said Sashi Kanta Shah, chairman of Shah Brother, one of the leading tea exporters in the city. Indian Tea Association chairman Hemant Bangur said exporters were also holding back shipments because they were unsure of payments. At the same time, Iranian importers were also buying time because they were also not sure if they could make payments. Iran primarily imports tea produced in Assam, Darjeeling and Dooars. Assam has the largest share — 80% — of the export basket with the rest being contributed by Bengal. Kolkata is the hub of tea export in north India. 'Orthodox tea grown in Assam and Dooars has a big market in Iran. Besides, high-quality CTC (crush, tear, and curl) tea is also sent there along with Darjeeling tea. Assam tea is blended and packaged in Kolkata before being exported,' said Bijoy Gopal Chakraborty, president of Confederation of India Small Tea Growers Association. Exporters are racing to fulfil pending orders before freight costs further skyrocket, said Anindya Sengupta, co-founder of Small Tea Growers Associates, a city-based manufacturing company. 'The import volume of Iran has already declined while the war has turned the situation for the worse. We are now focusing on the UK and Europe markets,' he added. Sujit Patra, former secretary of Indian Tea Association, said earlier Iran used to import higher quantities of premium Darjeeling tea. 'With the price of Darjeeling tea rising, they have shifted more to the Assam variety and Dooars tea. Exporters from Kolkata primarily use the Mumbai port to send shipments to Iran,' he said.
The Print
18-06-2025
- Business
- The Print
Iran-Israel conflict: Tea exporters anxious, orthodox prices start falling
Indian Tea Association Chairman Hemant Bangur said exporters remain cautious in terms of buying orthodox tea as they are not sure about shipments to Iran and might be worried about payments from importers of that country. They are also apprehensive that exporters may face hurdles in terms of rising freight charges and insurance costs for their shipment to Iran which is in the midst of a military conflict with Israel. Kolkata, Jun 18 (PTI) The ongoing conflict in West Asia has left tea exporters worried, as uncertainty prevailed over shipment prospects to Iran and an early sign of 'falling' prices of the orthodox tea variety, which that country usually imports from India, was noticed, according to stakeholders. 'Exporters have exercised a cautious stance to source orthodox tea through the auction route as they are facing uncertainty over shipment volume to Iran and are concerned about payment. This has pulled both the sale percentage and prices of orthodox teas downward,' Bangur told PTI. The orthodox tea is considered a premium variety and money spinner as it helps planters and traders realise better prices. 'Iran is roughly a 35 million kg market for India and is an important trading partner for us. The conflict between Iran and Israel is a matter of worry. Currently, we are waiting and watching. Exporters are in touch with Iranian importers,' Indian Tea Exporters' Association chairman Anshuman Kanoria told PTI. Due to the uncertainty looming large, exporters remain 'conservative in buying tea for Iran', and this has impacted the sale percentage and prices of the orthodox variety of tea, he said. 'In the last few days, the orthodox tea market in terms of sales and prices has been down by roughly 5-10 per cent, and this is mainly because of the uncertainty arising out of the geo-political tension between Iran and Israel. Prior to the conflict, orthodox market sentiment was optimistic. However, we are hopeful for an early solution to the conflict,' Kanoria said. Echoing him, one of the top exporters, Asian Tea Company's Director Mohit Agarwal said that the sale of the Assam orthodox has stopped since the conflict unfolded and the exporters are anxious. 'Iran is mostly an Assam orthodox market and since the conflict started, the auction sale quantity has dropped and prices of such variety in the auction are down by 5 to 10 per cent. However, it is too early to assess the situation. It is more of a wait-and-watch situation now. If the conflict prolongs, it will cast a shadow on the prospect of tea exports, but we are hoping for a quick resolution,' Agarwal told PTI. The situation could worsen if the tension escalates and the conflict spreads to other countries in the West Asia region, the exporters said. 'If this geo-political conflict persists, it is likely to disrupt the supply chain and adversely impact the overall tea shipment. This may impact the prices of the orthodox variety in the near future. During the April-May period this year, the cumulative orthodox price was Rs 20 a kg higher, while the prices of the CTC variety were flat,' rating agency ICRA Vice President and Sector Head Sumit Jhunjhunwala told PTI. The overall West Asia market, including Iran, Iraq, Qatar, Saudi Arabia and UAE, consumes around 90 million kg of Indian tea, Jhunjhunwala said. South India Tea Exporters Association Chairman Dipak Shah said exporters are keeping their fingers crossed as freight costs and insurance expenses for shipment are likely to increase if the Iran-Israel conflict lasts for a long time. 'Iran predominantly buys orthodox tea from north India, but a certain quantity moves out to Iran from south India. There is apprehension among exporters about how the situation will pan out in the next few days. Obviously, nobody wants to venture into a country engaged in a military conflict,' Shah told PTI. Tea exports from India increased by 9.92 per cent to 254.67 million kg, from January to December 2024, as against 231.69 million kg in the previous calendar year. According to Tea Board provisional data for the period between January and March 2025, the exports during the three months stood marginally higher at 69.22 million kg as compared to 67.53 million kg in the corresponding period of the previous year. PTI BDC NN This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.
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Business Standard
15-06-2025
- Business
- Business Standard
Growers welcome Centre's move to include tea in weather insurance scheme
Tea growers hailed the government's decision to bring the sector under the Restructured Weather Based Crop Insurance Scheme (RWBCIS), which they said would help mitigate losses due to erratic rainfall and rising temperatures. The Department of Agriculture and Farmers Welfare issued a notification on June 10, stating that the insurance scheme would come into effect from the Kharif 2025. States and UTs were asked to expedite the floating of tenders, finalisation of the insurance company and other modalities by June 20 to ensure that farmers can avail the benefit of the scheme. Indian Tea Association (ITA) secretary general Arijit Raha told PTI this is the first time the sector has been brought under the purview of a weather-based insurance scheme. "The tea sector is witnessing frequent fluctuations in production due to erratic rainfall, waterlogging and a rise in temperature, exceeding 35 degrees Celsius. Climate change adaptation and mitigation have become a major challenge to keep the sector sustainable," he said. "In this context, a weather-based crop insurance is a necessity. We heartily welcome the decision of the Centre to extend the scheme to this sector," he added. Confederation of Indian Small Tea Growers (CISTA) president Bijoy Gopal Chakraborty said the demand for it was being raised for the last five years. "We welcome this step. Crop insurance is an effective and mitigating component in the backdrop of climate change. Tea cultivation by small growers had been hit by high temperatures and excessive rains," he said. India, the second-largest tea producer in the world after China, reported 1,382 million kg of production in 2024. In 2023, it produced 1,375 million kg of tea. Small tea growers contribute to more than 50 per cent of the country's total production. Assam is the largest tea-producing state in the country, followed by West Bengal and the southern states of Tamil Nadu, Karnataka and Kerala. Tripura, Arunachal Pradesh, Sikkim, Himachal Pradesh, and UP are among the states that grow small quantities of tea. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
