India’s tea industry has witnessed significant growth in exports while also facing rising concerns over increasing imports. With a diverse range of high-quality teas, India remains a major player in the global tea market. Below is an overview of key developments and challenges in the Indian tea sector.

Key Developments in India’s Tea Trade

Aspect	Details
Record Exports	India exported 254.67 million kg (mkg) of tea in 2024, up from 231.69 mkg in 2023.
Global Ranking	India ranked third in global tea exports, surpassing Sri Lanka, but behind Kenya and China.
Export Revenue	Earnings from tea exports rose to Rs 7,111.43 crore in 2024, compared to Rs 6,160.86 crore in 2023.
Regulatory Mandate	The Tea Board of India now requires exporters to clearly indicate the origin of tea on packaging and invoices.
Concerns Over Imports	A rising trend in tea imports is causing concern among domestic tea producers, as highlighted by the Indian Tea Association (ITA) and Tea Association of India.

Quality of Indian Tea Compared to Global Competitors

1. Varietal Excellence

• Assam Tea: Known for its robust and malty flavor, Assam tea is globally recognized.
• Darjeeling Tea: Often called the “Champagne of teas,” it has a unique, delicate aroma and holds Geographical Indication (GI) status.
• Nilgiri Tea: Characterized by its fragrant, brisk flavors, Nilgiri tea is widely used in specialty blends.

2. Global Rankings

• India remains one of the world’s largest tea producers and exporters, following Kenya and China in exports.
• The country’s varied climates and terroirs contribute to a broad range of high-quality teas.

3. Organic and Specialty Teas

• India has seen growing demand for organic teas, catering to the health-conscious global market.
• Estates certified for organic production command premium pricing internationally.

4. Tea Grading and Standards

• The Tea Board of India enforces strict grading and quality standards.
• Indian teas are graded based on leaf size, aroma, color, and taste.

5. Awards and Recognition

• Indian teas frequently win awards at international tea competitions, reinforcing their reputation for excellence.
• Specialty tea markets continue to highlight India’s ability to innovate and create unique blends.

6. Challenges Facing India’s Tea Industry

• Climate change affects yield and quality, posing long-term risks.
• Competition from countries like China and Sri Lanka remains strong.
• Rising imports could impact local producers, despite India’s strong export performance.

7. Quality Perception in International Markets

• Indian teas enjoy a strong reputation globally but must continuously innovate to maintain a competitive edge.
• Premium teas from China and Sri Lanka offer unique competition in niche markets.

Conclusion

India’s tea industry continues to thrive, marked by strong exports and high-quality production. However, challenges such as increasing imports, climate impact, and global competition necessitate ongoing innovation and quality assurance to maintain its global standing.