Exports of tea from the country increased by more than 300 lakh kg: Sri Lanka's competition in the orthodox decreased

- Although Iran stopped proforma registration, there was a significant increase in exports to UAE countries against export congestion to Iran.

The tea market and industries in the country have recently seen a rapid reversal of trends. Instead of covid and lockdown, now with the speed of reopening, bulk users have returned to the tea market. There has been a boom in the tea market at the global level as well. However, recently, as the indications of corona cases are increasing again in China, this issue has also seen a stir in the global tea market. Meanwhile, tea market insiders have predicted an increase of around 300 to 330 lakh kg in the total export of tea from the country in the current calendar year. The total export of tea from the country in the year 2021 was about 1965 to 1966 lakh kg, the information has shown the possibility of increasing to about 2250 to 2300 lakh kg in this year 2022. The demand of Indian tea from various countries of the world has increased this year. However, there were also rumors that Iran had recently stopped buying tea from India. Sri Lanka and India compete for more market share in the global tea market, especially in the export market of orthodox tea. However, due to the economic crisis in Sri Lanka this year, market sources said that there has been a special increase in the demand for orthodox tea from India in the world market. A situation like advantage was created for India as exports from Sri Lanka decreased.

The export of tea from the country has increased to about 1655 to 1656 lakh kg in the nine month period of January to September this year as compared to 1425 to 1426 lakh kg in the same period last year. Market experts said that it has increased to Rs.4543 to Rs.4544 crore in this period. The export of orthodox tea from the country has increased by about 21 to 22 percent during this period. While the total export of tea has increased by about 15 to 16 percent in this period, the export of orthodox tea from the country has increased from 799 to 780 lakh kg in this period, which was 655 to 656 lakh kg in this period last year. And in terms of value, such exports have increased from Rs.1830 crore to Rs.2355 to 2360 crore. According to the sources of Indian Tea Exporters Association, the total export of tea is likely to increase to 2250 to 2270 lakh kg this year. Experts were showing the possibility of this figure going higher if Iran's demand was maintained. During the period of January to September this year, the export of tea from India to Iran was about 186 to 187 lakh kg and the value of such export was recorded as Rs.515 crore. However, recently Iran stopped the registration of the proforma and the tea export from India to Iran has stopped, according to world market informants.

However, on the one hand, Iran's demand has been suppressed in India's tea, while on the other hand, there has been an increase in the demand of the United Arab Emirates, UAE. And an increase of about 155 to 160 percent has been seen in such demand. In the period of nine months from January to September this year, the export of tea from India to UAE countries has increased to 285 to 286 lakh kg, which was only 110 to 111 lakh kg in this period last year. However, there has been a discussion in the market about this that India's tea was going to Iran from UAE! Sources said this was made possible by the RBI's approval of third-party currency arrangements. Meanwhile, the market price of orthodox tea at home has gone up as exports of orthodox tea from the country have increased. In 7-8 months, such price increase has averaged 20 to 30 percent. Meanwhile, the new season of coffee from India has started from October and there are indications that robusta and soluble coffee exports from the country have been remarkably good at the beginning of the new season. During October, November, as the supply from Brazil and Vietnam remained low in the world market, the informants were saying that the overseas demand for Indian coffee has increased.