By Aravinda Anantharaman | Managing Editor
India Tea News for the week ending 29 March 2024
Bought Leaf Factories Reject 100% Dust Auction
The Telegraph reported that the Assam Bought Leaf Tea Manufacturer’s Association unanimously opposed the tea board’s order for 100% of dust-grade tea to be sold via the auctions. Their view is that their existing sales mechanisms bring higher price realization when compared with auctions. The members also opposed the demand on the Bought Leaf Factories to test all the green leaf sourced and tea produced at their factories for food safety compliance, stating that the use of chemicals and pesticides was by the grower and not at the factory. They have also said they will cease manufacturing operations starting 1st April 2024 to protest against the non-compliance of green tea leaves.
Assam to See a Significant Drop in First Flush Production
North India has been seeing a dry start to the year, which has impacted tea production. The first flush plucking expected to begin in early March has been delayed due to lack of rain. Media reports quote planters as saying the crop will be about 40% lower than average production for the season. Assam production in March 2023 stood at about 34 mn kilos. All eyes are on April to see if the first flush will meet expectations. Darjeeling, Sikkim, and Kangra have also had a late start to the season because of prolonged dry weather.
HUL Offers Interventions to Support Indian Tea
Hindustan Unilever, which owns tea brands Brooke Bond, Taj Mahal, and Taaza, partnered with the Tea Research Association of India to promote regenerative agriculture. HUL and TRA plan to undertake a “Life Cycle Analysis” to develop strategies to reduce carbon impact. This will cover 19 tea estates/factories and 19 small tea growers across 15,000 hectares in Assam, West Bengal, Tamil Nadu, Kerala, and Karnataka. HUL is also expected to invest in Assam to enhance value addition in tea. Economic Times
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