tea

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tea Tea industry in India
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WORLD TEA SCENARIO 2013

• World Production -- 4819 million kg
• Indias share 1200 m.kg 25 2nd position
• Global Area under Tea 3.69 million hectare
• Indias share 0.56 m.hec 15 2nd position
• World Exports 1865 million kg
• Exported of Total Production World 39
  India 18
• Indias Share 219 m.kg 12 4th position
• World Consumption -- 4663 million kg
• Indias Share 1003 m.kg 22 2nd position

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Production, Export and Domestic retention since
1950Volume of exports hovered around 200 million
Kgs over last six decades
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TYPE OF TEAS PRODUCED During last 5 years (in
M.Kgs)
2009-10 2010-11 2011-12 2012 -13 2013-14
C T C 883 856 987 1023 1086
Orthodox Green Total 108 111 109 112 123
T O T A L 991 967 1096 1135 1209
Share of Orthodox Green 10.93 11.49 9.92 9.90 10.14
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EXPORTS TO MAJOR COUNTRIES DURING 2013-14
Top Ten Destinations Top Ten Destinations Top Ten Destinations
Country Volume M.Kgs. Value Rs.Cr.
Russian Fed 38.62 639.91
U.A.E 23.33 473.03
Iran 22.9 603.85
Pakistan 19.92 196.01
United Kingdom 17.64 338.13
U.S.A 14.09 396.55
Bangladesh 13.94 131.42
Kazakhstan 10.26 207.69
Germany 7.77 259.25
Egypt (ARE) 7.45 89.54
Total for top ten 175.92 3335.38
Total for gt 25 countries 225.76 4509.09
share of top 10 78 74
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Export of Value added Teas over past five years
Year Qty (M.Kgs.) Value (Rs.Crs.) Value ( M. US) Share in total Exports
2009-10 30.16 709.96 149.01 14.13
2010-11 30.99 775.25 170.23 14.50
2011-12 23.96 725.31 151.46 11.18
2012-13 25.6 879.64 161.59 11.84
2013-14 26.22 974.73 161.36 11.61
Average 27.386 812.978 158.73 12.65
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IMPORT OF TEA INTO INDIA

Year M.Kgs CIF Value (Rs Crores) Price (Rs /Kg)
2011-12 19.21 186.04 96.85
2012-13 21.90 282.56 129.02
2013-14 19.23 237.33 123.42
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EMPLOYMENT PROFILE

• Direct Employment 1.1 Million
• 55 are women workers
• Dependants of the workers -1.9 million
• The indirect employment is around 3 times the
  direct employment.
• Thus gt 4 million people are dependant on tea for
  their livelihoods
• Indirect employment in allied activities
  warehousing, transport, farm and factory inputs
  food grain supply and tea machinery
  manufacturing and servicing etc.

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Current Thrust areas

• The main focus is on maintaining a healthy
  balance between supply and demand for meeting the
  domestic demand in full and maintain current
  level of Exports
• Thrust Areas
• Increasing Production Productivity through
  Replanting and extension Planting.
• Special focus on development of small holdings
• Quality Assurance through Certification, value
  addition
• Market Promotion - domestic and international
• Plantation Workers welfare
• Integrated R D - climate change- Pesticide
  Residue issues
• Regulatory measures for safeguarding the quality
  image of Indian teas

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Challenges

• Stagnant Productivity
• Increasing Labour Costs- shortage absenteeism
• Adverse effect of climate change increasing cost
  of Pest Control
• Small Tea Growers- quality risks
• Quality related regulatory issues
• RD to keep pace with the new challenges
• Stagnant export need for value addition, product
  and market diversification

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Stagnant Productivity

• Declining yield - owing to aging of tea bushes .
• crop and revenue loss during gestation period.
• A comprehensive survey of all big tea gardens
  carried out
• 148305 ha 37 of the bushes are gt50 years of
  age
• It is targeted to renovate 47,000 ha during XII
  Plan period ending 2017

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Labour related issues

• Increasing Labour cost, shortage and absenteeism
• Tie up with IITs for development of mechanical
  aids for improving the working efficiency
  reduce drudgery.
• Tea Industry continues to bear the social cost
  rendering Indian teas uncompetitive in the
  international markets.

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COST OF PRODUCTION

• 70 of CoP comprises of Fixed Costs
• Price realization at the farm gate level is not
  keeping pace with inflationary rise in the cost
  of inputs
• High Social Welfare cost
• High cost would be largely mitigated through
  improvement of yields.

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Adverse effect of climate change increasing
cost of Pest Control

• Prolonged droughts, incessant pest attacks
  adversely impacting productivity and cost of
  production
• Cost effective pest management, harmonization of
  Pesticide residue issues
• A Pesticide Code has been developed and notified.
  It will come into force with effect from 1st
  Septemebr 2014
• Launched a Sustainability Tea programme
  trustea for ensuring quality assurance and
  compliance with food safety standards

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SUSTAINABILITY ISSUES

• Rainwater Harvesting
• Recharging Groundwater
• Effluent Waste Management
• Afforestation Micro-Climate Management
• Utilisation of Renewable Energy resources
• Safe Use of Pesticides Adoption of Sustainable
  Field Practices
• Trustea Code
• Plant Protection Code (Version-2 in Tea Board
  website)

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PLANT PROTECTION CODE

• The Tea Board of India has implemented a 'Plant
  Protection
• Code' (PPC) for tea production.
• The PPC is a best practice guide to sustainable
  and safe tea
• production.
• PPC covers
• Use of only approved Plant Protection
  Formulations (PPFs)
• by Central Insecticide Board, GoI
• Adherence to MRLs for pesticides laid down by
  the FSSAI

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SUSTAINABILITY - INITIATIVES
Ground water recharging
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RAIN WATE COLLECTION 8/18/2015
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Afforestation
Rain Water Harvesting Reservoir
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Small Tea Growers- development

• Mushrooming of small holdings and Bought
  Leaf Factories (BLF)
• Green leaf price volatility reasonable price
  not being realised due to indifferent quality
• A New Directorate with adequate manpower set up
  in April 2013.
• Opened field offices for closer interface with
  the growers and BLFs.
• Enumeration of growers- smart cards
• Better extension services for adopting GAP GMPs
• Improvement of quality value addition
• Price Sharing formula-for ensuring reasonable
  price for green leaf

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Quality related regulatory issues

• Thrust on compliance with GMP and quality
  certifications such as ISO 22000/HACCP etc
• e-auction Online auction of tea - moving
  towards Pan India auction
• Tea Councils of India for Mandatory checking of
  tea exports imports to ensure compliance
  with the FSSAI norms

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RDto keep pace with the new challenges

• TRIs have initiated work on
• the impact, vulnerability and adaptation of tea
  to climate change.
• Irrigation, water harvesting and conservation
• Mechanisation especially for harvesting
• Non pesticidal control of pests /Organic tea
• Biotechnological studies for identifying potent
  genes responsible for tolerance to drought and
  pest attacks.

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Stagnant export markets Need for Value
addition ,product market diversification

• Brand India promotion in targeted markets
• 1.Extensive promotion of India Tea
• 2. Engagement with the local trading community
• 3. Consumer-oriented promotion
• 4. Utilisation of Social Media
• 5.Focus on export of value-added teas
• Promotion of Indian tea brands having 100 India
  tea packed and exported from India.
• Setting up of Specialty Tea Factories/value
  addition-packaging/blending/tea bagging
• Setting up of Integrated Tea Parks for common
  facilities.

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MARKETING DOMESTIC

• Domestic consumption is lagging at 733 gms per
  capita lower than many countries like UK,
  Ireland, Pakistan, etc
• Domestic promotion is needed to attract Youth
  Young Professionals with high disposable income
  and aspirational life style
• Industry Tea Board jointly conducting B2C
  promotion programme Tea Carnival Chai
  Ho Jaye

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INDIAN TEA CARNIVAL CHAI HO JAYE
.

• India's first ever Tea Carnival Chai Ho Jaye
  was organised
• in collaboration with Tea Board of India in
  Gurgaon and
• Ahmedabad.
• More cities planned to be covered.

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INDIAN TEA CARNIVAL CHAI HO JAYE
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INDIAN TEA CARNIVAL CHAI HO JAYE
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