The Tea Board has asked the industry to boost exports which were suffering due to price arbitrage in the domestic market, an industry official said. Tea exports, which fell by about 12 million kg in April-September 2014, could also witness a similar down trend in October-December 2014 as well, the official said.
“During 2014, exports have declined as prices in the overseas markets have softened while that in the domestic auctions have firmed up,” a source in the Indian Tea Association (ITA), the apex body of tea growers, told PTI. The crop in Assam had suffered due to the drought conditions prevailing there leading to lower production of orthodox teas, the major export revenue earner.
The markets of Iran, the US, Pakistan and Bangladesh had made lower off-take of Indian tea, leading to an aggregate decline of 12 million kg during the period from April to September 2014.
