By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Gulf PressGulf Press
  • Home
  • Gulf News
    • Saudi Arabia
    • UAE24/7
    • Kuwait
    • Qatar
    • Bahrain
    • Oman
  • World
  • Business
    • Market DataLive
    • Finance
    • Economy
    • Energy
    • Crypto
    • ForexHot
    • Tech
  • Sports
  • Lifestyle
  • Videos
Search
Countries
  • Saudi Arabia
  • UAE
  • Kuwait
  • Qatar
  • Bahrain
  • Oman
More Topics
  • Technology
  • Health
  • Entertainment
  • Crypto
  • Forex
  • Stocks
Site Links
  • Business Hub
  • Trending
  • Weather
  • Customize Interests
  • Bookmarks
  • Newsletter
  • Terms
  • Press Release
  • Advertise
  • Contact
© 2023 Gulf Press. All Rights Reserved.
Reading: Surging tea prices in India due to drastic decrease in output caused by extreme weather conditions – News
Share
Notification Show More
Latest News
UAE Ranks Among Top Rugby Markets on TOD as British & Irish Lions Tour Kicks Off
Sports
Darven: A New Leap in AI-Powered Legal Technology Launching from the UAE to the World
Tech
Beat the Heat This Summer with a Chill Out on Dubai Marina
World
Historic Italian City of Assisi to Host International Exhibition “Jordan: Dawn of Christianity”
World
Jordan to Host Iraq in the Final Round of the Asian World Cup Qualifiers After Securing Historic Spot
Sports
Aa
Gulf PressGulf Press
Aa
  • Gulf News
  • World
  • Business
  • Entertainment
  • Lifestyle
  • Sports
  • Videos
Search
  • Home
    • Videos
    • Business Hub
    • Trending
  • Gulf
    • Saudi Arabia
    • UAE
    • Kuwait
    • Qatar
    • Bahrain
    • Oman
  • Business
    • Market Data
    • Crypto
    • Economy
    • Energy
    • Finance
    • Forex
    • Tech
  • More News
    • World
    • Lifestyle
    • Entertainment
    • Sports
Have an existing account? Sign In
Follow US
  • Terms
  • Press Release
  • Advertise
  • Contact
© 2023 Gulf Press. All Rights Reserved.
Gulf Press > Business > Surging tea prices in India due to drastic decrease in output caused by extreme weather conditions – News
Business

Surging tea prices in India due to drastic decrease in output caused by extreme weather conditions – News

News Room
Last updated: 2024/07/09 at 12:30 PM
News Room
Share
3 Min Read
SHARE

India’s tea prices have been on the rise due to extreme weather events such as heatwaves and floods affecting key producing regions. The surge in prices could provide some relief to the struggling Indian tea industry, which has been grappling with escalating production costs over the past decade. Prabhat Bezboruah, a senior tea planter, pointed out that the excessive heat in May and ongoing flooding in Assam have significantly reduced tea output. Additionally, the government’s decision to ban 20 pesticides has further impacted production.

In May, India’s tea production dropped by more than 30% from the previous year to its lowest level in over a decade. This decline was attributed to the adverse weather conditions, including excessive heat and insufficient rainfall. In Assam, a major tea-producing state, severe river flooding in July has affected more than 2 million people, adding to the challenges faced by the industry. Despite the setbacks, the increase in tea prices began when a heatwave led to reduced production from April onwards, coupled with strong demand.

As of late June, average tea prices had surged by nearly 20% compared to the previous year, reaching 217.53 rupees per kg. Although production improved in June due to adequate rainfall, flooding in July again hampered the plucking activities in various districts of Assam. A Jorhat-based tea planter noted that there could be a shortfall of 15 to 20 million kg in production for July, which is typically a peak production month. This decline could lead to a significant increase in prices, but financially struggling producers are finding it challenging to negotiate with powerful buyers during peak production months.

Despite the potential for higher prices in 2024, the tea industry remains hopeful about export prospects. It is projected that average tea prices could be 16% to 20% higher than the previous year, although this increase is unlikely to dampen tea exports. In fact, India’s tea exports in the first four months of 2024 spiked by 37% compared to the same period last year, reaching 92 million kg, as reported by the commerce ministry. The country primarily exports the CTC grade to Egypt and the United Kingdom, while the orthodox variety is shipped to Iraq, Iran, and Russia.

Overall, the tea industry in India is facing challenges due to adverse weather conditions and production constraints, resulting in a significant reduction in output. However, the increase in tea prices could offer some reprieve to producers, although they continue to struggle with rising production costs. Despite the production shortfall, export demand remains strong, driven by the ban on pesticides and the quality of Indian tea varieties. Looking ahead, the industry is cautiously optimistic about the potential for higher prices and sustained export growth in the coming months.

Sign Up For Daily Newsletter

Be keep up! Get the latest breaking news delivered straight to your inbox.
I have read and agree to the terms & conditions
By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
News Room July 9, 2024
Share this Article
Facebook Twitter Copy Link Print
Previous Article Bitcoin Cash Sell-Off Accelerated by Low Liquidity on Exchanges During Mt. Gox Creditors’ Liquidations: Kaiko
Next Article Teammates say below-average Kane is crucial for England in Euro 2024
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Stay Connected

235.3k Followers Like
69.1k Followers Follow
56.4k Followers Follow
136k Subscribers Subscribe
- Advertisement -
Ad imageAd image

Latest News

UAE Ranks Among Top Rugby Markets on TOD as British & Irish Lions Tour Kicks Off
Sports July 6, 2025
Darven: A New Leap in AI-Powered Legal Technology Launching from the UAE to the World
Tech July 1, 2025
Beat the Heat This Summer with a Chill Out on Dubai Marina
World July 1, 2025
Historic Italian City of Assisi to Host International Exhibition “Jordan: Dawn of Christianity”
World June 28, 2025

You Might also Like

Tech

Darven: A New Leap in AI-Powered Legal Technology Launching from the UAE to the World

July 1, 2025
Crypto

Bitget Celebrates Bitcoin Pizza Day by Distributing Over 5000 Pizzas in Over 20 Cities Worldwide

May 22, 2025
BusinessCrypto

Bitget Protection Fund Maintains Strength with $561 Million Average Value in April 2025

May 20, 2025
BusinessGulfUAE

Muhammad Umair Saeed: The Billionaire Tech Architect Powering AI, Drones, Blockchain & Cybersecurity from Dubai to the World

May 10, 2025
BusinessCrypto

RWA project FEXSE tokenises $600,000 Jacob & Co. luxury watch on the blockchain

April 14, 2025
Business

NTT DATA Business Solutions Expands Presence in UAE with Stronger Regional Leadership

March 28, 2025

Sustainable Moving Services: How Dubai’s Moving Companies Are Going Green

February 20, 2025
Tech

CNTXT and Oracle Strengthen AI Collaboration to Drive Innovation

February 14, 2025
//

Gulf Press is your one-stop website for the latest news and updates about Arabian Gulf and the world, follow us now to get the news that matters to you.

Quick Link

  • Privacy Policy
  • Terms of ue
  • Advertise
  • Contact

How Topics

  • Gulf News
  • International
  • Business
  • Lifestyle

Sign Up for Our Newsletter

Subscribe to our newsletter to get our latest news instantly!

I have read and agree to the terms & conditions
Gulf PressGulf Press
Follow US

© 2023 Gulf Press. All Rights Reserved.

Join Us!

Subscribe to our newsletter and never miss our latest news, podcasts etc..

I have read and agree to the terms & conditions
Zero spam, Unsubscribe at any time.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?