• India’s Cloud Auction Option

    Jorhat Tea Auction Centre
    Jorhat Tea e-Marketplace in Assam, India is the nexus of five major tea-growing districts with annual output of more than 200 million kg,

    Tea Day e-Auction Highlights Boutique Teas

    Buyers seeking quick turn-around of fresh tea from specialty and smallholder gardens in India bid record prices at a the first International Tea Day auction, the latest of 1.3 million kilos of tea traded since June 2020. All teas on offer were plucked May 21.

    The e-Marketplace at Jorhat is cloud-based making it accessible to buyers around the world.

    There are currently six auction centers in physical locations, each run by a separate committee which acts as the auction organizer, all sharing an electronic auction system pioneered by the Tea Board of India. About 500 million kg of tea out of India’s annual estimated at 1,350.

    “We created India’s first e-marketplace for buying and selling bulk tea. Along similar lines, we want to develop an international e-marketplace where foreign buyers can directly buy fresh tea from the gardens in the shortest possible time with complete transparency” says mjunction managing director Vinaya Varma.

    Vinaya Varma
    Vinaya Varma

    The International Tea Day Special Auction on June 21 was organized by mjunction Services, India’s largest B2B e-commerce company. The e-Marketplace launched last year amidst the lockdown. India offers a wide bouquet of teas across the year and ships regularly  to more than 90 countries. At a webinar on the occasion of International Day, Indian Tea Association Chairman Vivek Goenka said that India has set an export target of 300 million kg by 2023 — a 20% increase by next 2-3 years.

    Mjunction is an equal joint venture of Tata Steel and SAIL (the Steel Authority of India), is India’s largest B2B e-commerce company and a leading e-marketplace for steel in the world. Since inception in 2001, mjunction has e-transacted over INRs 1,053,663 crore ($142 billion) on its various e-platforms (an Indian crore is currently valued at $135,000 USD).

    Varma said there is a lot of excitement amongst stakeholders on the teas offered in the special auction and have got tremendous response and fetched some record prices. “More than 93% of the total teas on offer got sold. Buyers had logged in from Assam, West Bengal, Delhi, Gujarat, and Rajasthan,” he said.

    Nilesh Divekar of Shangrila Enterprise, who purchased Pabhojan Orthodox at Rs 4,000 per kg, said he  appreciates the efforts of the mjunction team to provide such a platform where best of the teas are available fresh and in small quantities without any hassles.

     Most of the best marks of Upper Assam like Hookhmol, Lankashi, Diroibam, Aideobari Premium, Muktabari, Rungliting Tea Estate, Narayanpur Panbarry, Durgapur, Tirual, Arin, Kathonibari, Friends Tea and Pabhojan participated.

    Pabhojan Tea Estate INRs4000 Record Price
    The Pabhojan Tea Estate orthodox tea pictured above brought a record INRs 4000 ($54 per kilo)

    Pabhojan Orthodox tea was sold at a record price of INRs 4,000 per kg. Diroibam Speciality Green tea was sold at INRs 1000 per kg, and a Hookhmol CTC tea fetched INRs 510 per kg – also record prices in their respective categories.

     Rakhi Dutta Saikia of Pabhojan Organic Tea Estate  lauded mjunction’s efforts on the occasion. “I am very happy that Pabhojan has fetched a record price, and  hope the mjunction platform continues the good work,” she said.

     Dr. Nazrana Ahmed of Diroibam Tea Estate, whose Green Tea was sold at INRs 1,000 per kg, said, “Today’s special auction is of special significance to us, as we have received the highest bid for our Specialty Green Teas. We are happy with the professional approach of the mjunction team and the trust reposed on the platform by the buyers.”

     He said the company is trying to make small tea growers’ tea available to the connoisseurs of tea worldwide.

     “Our Jorhat office is in constant touch with the small tea growers  segment. There is a lot of interest from STG to be part of our platform.

    We are very well aware of their struggle and contribution to the tea industry in Assam as well as the rest of the country. “mjunction is also very well aware that many of these small tea growers are producing some of the finest handcrafted tea in the country. Some of the tea is also organic and there is a huge demand in the world market for such tea” he said.

    He said in one year, it has  been able to bring a lot of buyers and sellers who have been outside the purview of auctions till now. There are many first-time tea entrepreneurs who are now associated with our platform.

     “We hold weekly sales. Our first sale was on June 1, 2020 and since then we have not dropped a single weekly sale. During the past year the e-Marketplace connected with hundreds of sellers and buyers across the country, fetched some record prices and received offerings of more than 1.3 million kg of tea from Assam, Nagaland, and Arunachal Pradesh. Nearly 300 stakeholders, consisting of major tea buyers and sellers, are registered in this tea e-marketplace.

     “The founding principles and processes of our e-marketplace and Tea Board are different, so a comparison is not really possible,” he said.

     The event organized by mjunction elicited positive response from buyers and sellers alike. Kamal Sharma and Pradeep Sharma, Directors of Tea World who purchased Hookhmol CTC from the platform at INRs 510 per kg, said, “With shorter cycle time, teas sold on the mjunction platform are the freshest. We are pleased to have bagged Hookhmol. We have had our own packet with brand name Shree Mangalam since 2002, and we are committed to give our customers the best of Assam tea.”

    “While the pandemic hit the industry adversely, it has also given us a chance to let go of inefficient and archaic systems. If we look around in the last one year, the adoption of technology and digital platforms has been wide, deep and rapid. Similarly, the industry leaders must think of ways to include technology in plantation, manufacturing, trading etc while focussing on delivering quality produce.

     “I am optimistic about the Indian tea industry picking up using new-age processes and technologies,” he said.

     “Many specialty tea producers from North East India have approached our Jorhat office for inclusion. We are going to have separate catalogues for specialty teas and we are expanding our buyer base of Speciality teas” he said.

     He said the company will shortly be introducing Buyer and Seller Finance. Again this will be a first of its kind in the industry, as this shall be provided through the platform in a transparent manner. “We are also planning a B2B bulk packet platform, where single-origin and other packeteers may directly sell to retailers across the country, without intermediaries,” he added.

     The company is focused on bringing down the sales cycle-time and making freshly produced tea available in the market, directly from the producing region in the shortest possible time. “We want to make the supply-chain efficient, and ease up the working capital burden of the stakeholders,” Varma added.

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  • A 6.4 Quake Shakes Assam

    Residential damage
    Residential damage at Bhootechang Tea Estate due to 6.4 magnitude earthquake April 28

    No Deaths, a Dozen Injured, Tea Factory Damage Minor

    Guwahati | Assam

    A strong earthquake followed by several aftershocks rattled rafters and nerves on April 28 but caused only minor damage to tea processing factories throughout the region. Several estates reported damage to outbuildings and dwellings for workers. There were 12 injuries, none life-threatening, following the 30-second shake at 7:51 am April 28.

    The quake was felt throughout northeaster Assam, parts of Bihar, West Bengal, and Bangladesh. Damage was reported within a 100-kilometer radius in Sonitpur, Nagaon, and Guwahati.

    “We were lucky to have got away with no injuries to employees and their dependents from member gardens,” said Bhupinder Singh, chairman of the Assam Branch India Tea Association (ITA) Zone 3.

    A hill collapsed in Bhirabkund in the Udalguri district due to soil liquefaction caused by the quake and area residents were warn to be wary of land slides and damage to local bridges.

    “The high-intensity earthquake early Wednesday caused damage to houses and buildings with people running out of their homes and other places in panic, obliterating social distancing and other COVID guidelines amid a raging pandemic. The massive quake has caused only light damage to buildings and there have been no fatalities reported,” writes Prof. T.G. Sitharam, director of IIT Guwahati and president of the Indian Society for Earthquake Technology.

    The heritage bungalow at Durrung Tea Estate “stood firm and intact,” said Mrityunjay Jalan. At Kopati Tea Estate, Rohit Pareek said he was in the factory at the time of the quake “when everything started shaking for a good 30 seconds. Jolts were so massive that the ceiling of our packet tea house cracked immediately and we rescued our workers. There were aftershocks for one hour and when it calmed we started our factory

    The National Centre for Seismology put the epicenter of the quake near Sonitpur, a “very seismically active area” along the Kopili Fault. The Kopili is a strike-slip fault aligned from northwest to southeast. The quake originated 17 kilometers underground and 43 kilometers west of Tezpur.

    During the first 48 hours there were 15 aftershocks measuring 2 to 4.9 on the Richter Scale. The quake caused many fissures, exposing liquified soil within a radius of 50-70 kilometers. 

    Every year the Indian Plate moves roughly 5 centimeters northward, pushing under the Eurasian Plate and forming the Himalayas. The Seven Sisters (Assam, Meghalaya, Mizoram, Tripura, Nagaland, Arunachal Pradesh and Manipur) are considered by seismologists to be the sixth most earthquake-prone belt in the world.

    The region’s last major quake, in July 1960, measured 6.0. The epicenter of a 5.9 quake in November 2011 was in Myanmar about 130 km from the city of Imphal, capital of the sate of Manipur. The region experienced two of its worst earthquakes in 1897 and 1950. 1897 quake measured 8.0 and Each killed 1500. The magnitude 8.6 quake in August 1950, with an epicenter in Arunachal Pradesh, killed an estimated 4,800.

    Quake Damage

    • Quake damage to worker housing and a collapsed wall at Kopali Tea Estate, Assam

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  • India’s Earth-Friendly Tea Factory

    Jalinga Tea Factory
    A worker a Jalinga Tea Estate in South Assam making biomass pellets from tea waste to fuel tea dryers

    India’s first carbon-neutral tea estate is constructing the country’s most sustainable tea factory.

    Contractors at the Jalinga Tea Estate in South Assam, India’s largest organic tea grower, will complete India’s first zero-emission tea factory in July. With a capacity of 900 metric tons, the solar-powered factory is a large-scale model of efficiency using pellet-fired dryers, improved composting, biochar, and biomass gasification. Jalinga is India’s only Soil & More Impacts certified CO2 neutral estate.

    The factory is jointly financed through the Jalinga Climate Tea Research Foundation (JCTRF), a partnership between Jalinga Tea Estate and Atmosfair, a German non-profit committed to reducing CO? emissions by promoting, developing, and financing renewable energy projects in more than 15 countries.

    Jalinga Tea Factory
    Jalinga has produced organic tea since 2004 at this organic certified factory.

    Patrizia Pschera, Atmosfair’s Manager of Climate Mitigation Projects, writes that Jalinga “is making great efforts to minimise CO2 emissions and to make tea cultivation sustainable.”

    JCTRF is developing and testing climate-friendly ways of growing and processing tea while promoting adaptation to changing climate conditions, she explained. “The aim is to establish a self-sustaining concept for the climate friendly and ecological cultivation of tea that can be transferred to tea gardens all over Assam,” according to Pschera who authored a case study on the project published on the Atmosfair website. 

    Pschera praised the estate for “making well thought-out and far-reaching changes to its production, which goes further than buying CO2 neutrality through certificates.”

    In May, Atmosfair will visit Jalinga with reporters and a camera team from ZDF, a German TV channel making a documentary.

    Jalinga Director Ketan Patel said the factory is half-finished and would be complete with solar panel installation by July. “It will run on 100% biomass pellets and briquettes and replace coal completely. Electricity will be generated through solar panels,” he said.

    The factory will cost €300,000 ($360,000) to build and equip; an investment split equally between Atmosfair and Jalinga.

    “This is my most passionate endeavor to date,” said Patel, a long-time advocate of Earth-friendly endeavors on the 650-hectare estate.  Jalinga is a third-generation family business farmed organically since 2004. In 2018 Jalinga Tea Estate received the North American Tea Conference’s “Sustainability Award” presented annually.

    Low emissions cook stove

    The estate has adopted several climate-friendly social initiatives. Workers are supplied low-emission cookstoves instead of using firewood to improve air quality within dwellings, Patel explained, a simple innovation that reduces deforestation and improves the health of workers and their families.

    “Jalinga is a demonstration site, we intend to commercialize the technology and share it with the whole tea industry,” said Patel.

    “Atmosfair will look at the carbon emissions in the factory and develop carbon credits and take these back into the EU. They sell these carbon credits to airlines, government, etc.,” he said, adding, “It’s a win-win situation for the industry and environment.”

    Pellet-Fired Dryers

    The Indian government has the mandate to cut carbon emissions. One of the biggest problems in the industry is the reliance on coal to fuel dryers. Burning fossil fuels leads to the release of pollutants into the atmosphere. The availability of coal is also an issue. Coal mining is now illegal in Meghalaya, raising costs and making coal less available. Patel said that coal leaves a residue on tea plants, soot that is not suitable for human consumption.

    Jalinga will rely on tea waste, an excellent fuel when converted to biomass pellets. Prunings, waste leaves, and grass from weeding have relatively low ash content and generate 20 MJ of energy per kilo.

    “Many crop residues remain unused every year. Their decay in local dumps produces the greenhouse gas methane. At the same time, tea plantation operators dry the tea leaves with coal, releasing CO2. The JCTRF will test how plantation operators can use a pelleting machine to compress crop residues to use them as fuel instead of fossil coal,” said Patel. “We will be doing extensive research on climate-friendly ways to produce tea, both in the plantation & the factory so that the whole chain can lead to zero carbon tea production,” he said.

    Toward Carbon Zero

    The garden is also doing extensive R&D on a carbon removal program that will drastically improve soil fertility, explains Patel. Jalinga has been using compost from a special composting method (Novcom compost) in combination with manure to fertilize the tea plants for more than 15 years.

    “We are continuously trying out new ways of creating compost with green matter available in the estate. We have an in-house lab that tests the compost, compost water, and soil regularly for microbial growth, microbial diversity. Nitrogen content is also measured off-site,” he said.

    In a Facebook video, Patel explains that Jalinga follows the three pillars of climate-smart tea:

    • sustainably increasing agricultural productivity and income
    • adopting and building resilience to climate change
    • reducing and removing greenhouse gases (GHGs) emissions

    “Our policies are aligned with the 17 goals developed by the United Nations that aim for a better and more sustainable future for all,” he says.

    Jalinga supplies private-label tea to more than 150 5-star hotels with exports to the UK, Germany, Czech Republic, Hungary, and soon Russia, Australia, and Japan.

    Next up is a brand launch.

    Meeting the India Tea Board mandate to produce earth-friendly tea at a profit while enhancing India’s ability to market quality tea ? Jalinga is leading the way.

    “Currently tea needs a quarter million metric tons of Nitrogen from non-renewable methane; 138,000 metric tons of Potassium from fossil sources and 27,500 metric tons of Phosphorus to dig from fast-depleting reserves. Conventional farming has the tools to meet demand, but supplies are fast running out. Peak phosphorus comes in 2030,” according to Nigel Melican, founder Teacraft.

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  • Adapting to Climate Change

    New study recommends motivational campaigns, demonstrations, training, and extension work to encourage growers large and small to adapt to climate change.

    Rosekandy Tea Estate
    Reservoirs conserve rainwater harvested at Rosekandy Tea Estate. Photo courtesy Rosekandy TE.

    Tea Garden Managers in Assam Confront Climate Change

    The threat of climate change looms large in tea. “There is increasing evidence that climate change will strongly affect tea cultivation,” concludes a study of growers in Assam, the world’s top tea producing region.

    Garden managers in Assam are responding to the threat with adaptive measures that growers will find useful in many tea lands. These include rainwater harvesting to enable irrigation during dry spells, reforestation, conservation of biodiversity, soil mulching, and the creation of wind barriers that combine to mitigate the threat.

    To better understand the seriousness of the situation and to discover local adaptations, two scientists at the Tocklai TRA (Tea Research Association) in Jorhat sent questionnaires to growers in four regions of Assam – Upper Assam, South Bank [of the Brahmaputra River], North Bank and Cachar. Combined, these regions produce about 12% the world’s tea, supporting the livelihood of 1.2 million workers.

    The study Perception of Climate Change and Adaptation Strategies in Tea Plantations of Assam India analyzed tea growers’ awareness of climate change, its impact on tea, adaptive approaches undertaken and future strategies. The study was recently published in Environmental Monitoring and Assessment, a peer reviewed, scientific journal published by Springer. The work was authored by Dr. Pradip Baruah and Dr. Gautam Handique at Tocklai.

    The scientists note that climate change is a global concern with impacts that vary at the farm level. The majority of respondents were aware of changing climate conditions and the effect on tea production. How farmers respond to climate change needs to be precisely understood if the government, policymakers and researchers are to effectively support adaptive and mitigative approaches for the tea crop. Data was received from 83 tea estates.

    The impact of higher temperatures, erratic and often torrential rains are evident, according to Dr. Baruah, monitors weather and growing conditions and regularly shares his findings and advice online like in this March 15 tweet: “Rainfall has been quite scanty so far this year in Assam tea areas. Irrigation is still on in a Golaghat area tea estate today, which is mid of March.”

    Rainfall has been quite scanty so far this year in Assam tea areas. Irrigation is still on at a Golaghat area tea estate today, which is the mid of March. – Dr. Pradip Baruah

    The study revealed that most respondents (85.5%) were ‘deeply concerned’ about climate change, 9.6% were ‘somewhat concerned’ and only 4.8% were ‘unconcerned’ regarding climate change.

    Three quarters of respondents (78.3%) reported a decline in productivity while 12% were uncertain. Only 9.6% of the respondents suggested that tea production was not vulnerable to climate change. Respondents from gardens along the South Bank of the Brahmaputra River report the greatest impact, followed by North Bank growers and those in the Cachar region. A majority in every region confirmed that climate change, visible as spikes in temperature, drought, and variations in rainfall, was significantly affecting their crop production.

    Tea depends greatly on rainfall for optimal growth. Leaf productivity and the bushes are harmed by either an excess or shortage of water. Respondents said adverse conditions such as prolonged drought during winter and/or periodic heavy rainfall in recent years pose a threat to the sustainability of the crop. 

    The study pointed out that rains have become unpredictable with some regions suffering from prolonged dry spells, while other experience incessant rain particularly during the monsoon months. Respondents said climate change has also led to an increase in insect and disease infestation.

    In July 2020 the Brahmaputra River inundated around 26 districts, driving 2.8 million from their homes and killing 123. 

    Assam recorded 1,164mm of rainfall compared to a normal monthly average of 894mm during July 2020, an excess of nearly 30% (see map). The catchment areas of nearby states, Arunachal Pradesh and Sikkim also received excess rainfall 16% and 45%. – NASA Earth Observatory

    “As future management strategies, tea growers have opted to gradually replace synthetic fertilizers with organic manures and pesticides, construct anti-erosion measures along river sides and embankments, and generate awareness programs” according to to the study.

    Adaptive Measures

    The Rosekandy Tea Estate in Cachar in South Assam anticipated the local impacts of a changing climate as early as 1982.

    Ishwarbhai Ubhadia, general manager at Rosekandy TE, told Tea Biz, “We have created rainwater harvesting ponds all over the estate. We now have a 100 hectare area under water,” he said. “Wind belts have been created and we have maintained 500 hectares of reserve forest to maintain micro-climate and ecological balance,” he said. Installation of 70- kilowatt powered solar plant is underway. The generator will be commissioned by April, he said, adding that hunting of birds and animals on the land is now prohibited. 

    Garden managers expressed optimism in applying strategies to mitigate climate change. Rainwater harvesting and irrigation are now common in Upper Assam and along the South Bank, North Bank and Cachar. Adaptive measures like reforestation programs and the creation of wind barriers were mostly implemented in Cachar as compared with Upper Assam. Cachar and South Bank gardens are more likely to practice of soil mulching compared with the North Bank.

    In-situ water conservation largely consists of constructing artificial ponds and lakes and developing existing natural water bodies such as streams, rivulets, swamps, and low-lying areas. “Rainwater harvesting increases the amount of water per unit in cropping areas, reduces drought impact and enables the use of run-of beneficially,” according to the study.

    Rooftop harvesting at Heeleakah Tea Estate is low cost and effective. Water is stored and used for consumption, tea tasting, dehumidification, etc. In the garden, rainwater ponds and reforestation programs establish a microclimate ideally suited to growing tea. Photo by Dr. Pradip Baruah.

    Photo by Dr. Pradip Baruah.

    Mulching conserves soil moisture, reduces surface runoff and soil erosion and lower soil temperature. To minimize the impact of wind speed, respondents are constructing wind barriers to deflect high velocity of winds that increase evapotranspiration and desiccation, lodging in young tea plants, uprooting of shade trees, etc.

    Dr. Baruah says the impact of climate change is readily evident. “The first and second flush tea is getting affected. More needs to be done with regard to ecological micro-management by planting various types of trees,” he said.

    “Climate change is dynamic, impacting all but it needs a total approach at global and local level,” writes Dr. Baruah. “The good thing is that the tea estates have the capability of doing it to a great extent in different topographical and agro-climate conditions. Results are absolutely visible in Cachar area tea estates and in other areas of the state,” he says. “It is never too late but trying to adapt and mitigate the effects of climate change is the only way ahead,” he said.

    The study says coal and natural gas are extensively used in tea production and can be gradually replaced with new, cleaner technologies. “However, the cost economics, availability and energy efficiency standards of such ‘green energy’ will have to be properly worked out before essentially implementing in tea plantations. Similarly, the gradual replacement of synthetic fertilizers and pesticides with organic ones will be a welcoming step, but at the same time, one has to look at the practical feasibility and cost economics of such implementation” the scientists involved in the study say. 

    Plan of Action
    The proportion of tea plantations proposing future strategies like planting of tolerant/resistant tea cultivars and awareness and training programs among workers and associated people is higher for South Bank and North Bank as compared with that of Upper Assam. The  proportion of tea plantations proposing future strategy of awareness and training programs among workers and associated people were in favor of South Bank and North Bank, respectively.

    Scientists say the present study will be helpful to make more informed future strategies regarding best practices for tea cultivation under a changing climate for tea-growing regions all over the world.

    The Way Forward
    During a virtual International Tea Day panel discussion last year, FAO Director-General, Qu Dongyu, cited the importance of achieving greater sustainability in the tea sector. Panelists agreed on the need to develop strategies for climate change adaptation and mitigation, promote market transparency and sustainability of the tea value chain and develop policies for sustainable tea production benefiting, first and foremost, smallholder farmers. FAO has since launched projects to develop carbon-neutral tea cultivation (see below).

    FAO’s Intergovernmental Group on Tea when it last met formally in 2018, warned that tea cultivation and production globally is facing climate-related challenges which need to be addressed. Delegates concluded that “Climate variability, incidents of frost and prevalence of pests, also have an influence on tea production, and are beginning to affect productivity.”

    The Assam study calls for motivational campaigns, demonstrations, training and extension work to encourage adoption of climate change. “The implementation of long-term policies for climate change by the government needs to be strengthened so that the benefits reach every tea plantation and if necessary, subsidiary schemes can be developed by the government to encourage more adoption of such techniques” the study says.

    Rainwater harvesting
    Developing rainwater catchments creates a micro-climate ideal for growing tea. Photo by Dr. Pradip Baruah.

    FAO Launches Carbon-Neutral Tea Project in Kenya

    The Food and Agriculture Organization of the United Nations is working with tea growers in Kenya to pioneer carbon-neutral tea.

    The program attempts to sequester carbon dioxide from the atmosphere and reduce greenhouse gas (GHG) emissions at each stage in the tea value chain.

    The project will use carbon-neutral tea production methodologies developed in China by the Chinese Academy of Agricultural Sciences (CAAS) as well as new technologies to tackle climate change through energy efficiency, tried and tested in the Kenyan tea sector by the German Development Agency (GIZ).

    Scientists will prioritise energy and resource efficiency in tea factories through technology transfers, implementation of effective monitoring management, green procurement guidelines and factory automation.

    The project will also address the first stages of the tea value chain and the cultivation of tea bushes using low carbon practices including the reduction of fertilizers and pesticides, the support of carbon sequestration and soil conservation.

    –Energy Live News

    Resource Links

    International Trade Center
    Mitigating Climate Change in Tea Sector (2014)
    Chinese Academy of Agricultural Sciences
    Carbon-Neutral Tea Production in China (2019)
    FAO Intergovernmental Group on Tea (23rd Session)
    Fostering Sustainability in Tea Production (2018)

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