• Bitcoin Primer

    World Tea News recently published an article on the emergence of many popular tea brands on offer in Bitcoin’s new online MegaStore. 

    Larger retailers with a thorough understanding of the risks should definitely consider accepting Bitcoins as this digital currency promises to significantly lower the cost of online transactions. BusinessWeek reported Dec. 27 that Overstock.com will accept Bitcoins beginning in mid 2014. With 2012 revenue of $1.1 billion Overstock is the largest retailer to accept the world’s leading cryptocurrency. There are now 12.1 million Bitcoins in circulation, valued at $13 billion.

    Should your venture accept Bitcoins?

    The novelty of buying things with Bitcoins has a certain appeal to consumers but most of those who own Bitcoins are holding them tight anticipating an increase in value greater than current savings rates.

    Prices for tea in the MegaStore (which lists 100,000 items and went live in August) are displayed as a percent of the current value of a Bitcoin. A single coin was trading for $858 last week when the article was published. At that rate ?0.0842 was the equivalent of $72 (all dollars US unless otherwise stated). Between Dec. 5 and Dec. 7 Bitcoins dropped from $1242 (the price of gold) to $600 in 48 hours. On Dec. 23 Bitcoins were trading for $634 making a dollar worth ?0.00157. On Dec. 31 the buy price was $735.80. On Jan. 4 the buy price topped $1000.

    This volatility illustrates one of the obstacles to widespread use of any peer-to-peer payment system. To insure that Bitcoins remain “rare” there will ultimately be only 21 million in circulation. This means that even small numbers of speculators trading Bitcoins will alter its value in the market.

    The fact that the currency lacks liquidity and is accepted by only a small (albeit fast-growing) number of vendors suggests Bitcoin will emerge as the strongest of the cryptocurrencies but anyone can create a competing product, make it equally scarce and useful provided enough vendors accept it as payment.

    To reduce this risk Bitpay and Coinbase were established as Bitcoin wallets willing to immediately convert the digital currency into dollars (and other local currencies). Retailers use these wallets to accept Bitcoins and generally sell the Bitcoins they collect every night to minimize risk. At Coinbase there are no chargebacks or exchange rate risk and no fees on the first $1 million in transactions with 1% fee to cash out Bitcoins after $1 million in sales. Bitpay charges $300 per month for accepting Bitcoins on up to three domains with no transaction fees. A single domain account is $30 per month and accommodates 20 shopping cart plugins.

    Other advantages include the fact that retailers can accept mobile payments from any country in the world without PCI Compliance; direct deposit to your bank daily and accept payments over wi-fi and 3G/4G without the need for NFC terminals.

    Critics point out that Bitcoins are not legal tender and therefore are not regulated by legal tender laws. Bitcoins have no intrinsic value which means if they fall in value, unlike gold and silver, they could fall to zero. There is no government backing, no Federal Deposit Insurance Corp. rescue plan. Bitcoins are not going to replace the U.S. dollar.

    All that said, there is value in a frictionless exchange of a universal currency that is not subject to geopolitical influence. The payment system is transparent and math-based, not subject to government manipulation. It protects against identity theft. It is private but not anonymous to guard against money laundering and fraud. Bitcoins will grow in popularity so long as online purchases require credit card authentication with its requirements of a billing address and the burden of fees and onerous service charges.

    Compared to existing payment systems Bitcoin is almost as handy and frictionless as cash.

    Learn more at: Bitcoin.org and BitcoinFoundation.org and BitcoingCharts.com and BitcoinMagazine.com

  • Need to Know (Dec. 16, 2013)

    What tea professionals need to start the week.

    Sunday was International Tea Day and today is a special anniversary for Americans as it marks the 240th Anniversary of the Boston Tea Party… Shri M.G.V.K. Bhanu confirmed Sunday that he will soon depart as Chairman of the India Tea Board to take a government post in Assam… Trend-spotting is all the rage this time of year and McCormick Spice Co. sees a bright future for tea as a culinary ingredient… Euromonitor International takes a global view of non-alcoholic beverages, ranking the growth of ready-to-drink tea in South America among the five most important trends… At the India Tea Association’s 120th annual gathering Sunday, President A.N. Singh announced a trade mission to Russia in May to re-establish India’s former prominence with the world’s largest tea importer. 

    Boston Tea Party Re-enactment
    Boston Tea Party Re-enactment

    The Boston Tea Party Ships and Museum will bang the drums and fill the streets tonight in a boisterous re-enactment of the act of civil disobedience that marked the beginning of the American Revolution. Volunteers in costume recount the rhetoric for tourists seated in the Old South Meeting House before marching to the waterfront. There they board replicas of the merchant ships that landed in the fall of 1773 and toss overboard styrofoam representations of the history-making shipment of 340 chests of tea weighing 350 pounds. Click this link to see last year’s re-enactment. So raise a cup of tea to those brave folks in Boston and the colonies.

    For more about the Boston Tea Party Ships & Museum: “A Social History of Tea: Tea’s Influence on Commerce, Culture & Community,” a publication of Benjamin Press, available through Elmwood Inn, as well as from retailers and booksellers across the U.S. and U.K. Learn more about colonial tea history on Bruce Richardson’s Tea Masters blog. 

    International Tea Day is celebrated largely in the tea producing regions of the world with activities in Russia, Vietnam, Nepal, Bangladesh, India, Kenya, Malawi, Malaysia, Tanzania, Uganda and Indonesia. It originated in 2005 as a means of promoting tea and was first celebrated in New Delhi where a very successful gathering was followed by a similar gathering in Sri Lanka the following year. Celebrants give thanks for the annual harvest and labor unions and trade associations host rallies and seminars. It is a reminder that the two billion people who drink tea daily owe thanks to 20 million who cultivate and process tea. Tea is valued at $90 billion globally and demand continues with much of the growth occurring in tea-producing countries. 

    Origin 

    KOLKATA, India – India Tea Board Chairman Shri M.G.V.K. Bhanu announced Sunday that he will return to Assam in the New Year. “It is a wonderful experience here, but I am returning to Assam as my services are required there,’’ Bhanu told The Hindu Dec. 11. He made the announcement public at the general meeting of the Indian Tea Association Sunday.

    His date of departure has not been announced and it is not known who will replace him. His five-year appointment began Nov. 14, 2011 and would have ended in Nov. 2016. Bhanu, who holds a Master’s degree in physics, was commissioned as an IAS officer in 1985 in the Assam-Meghalaya cadre. He spent several years with the Department of Space Sciences and Ministry of Water Resources. In the IAS he built a reputation as a successful deputy commissioner of north-central Assam’s Sonitpur district from 1994 to 1997. According to news account “he was able to clean up the district headquarters in Tezpur, without the local MLA Brindaban Goswami of Asom Gana Parishad (AGP) standing in the way.” He is likely to return to Assam as principal secretary to Assam Chief Minister Tarun Gogoi.

    Bhanu’s unscheduled departure may delay several projects initiated during the last two years. During that time he established Tea Councils of North India and South India and Bhanu favors joining several regional bodies into a national tea auction. Bhanu was well traveled outside India and served as vice-chairman of the International Tea Committee (ITC), a global tea body for development of the tea industry.

    The IAS officer is also popular in the tea circuit across the globe speaking at many conferences and leading delegations to China, Sri Lanka, encouraging trade with Pakistan and Russia.

    Source: India Tea, The Hindu

    KOLKATA, India – A delegation from the India Tea Association (ITA) will travel to Russia in May in hopes of increasing exports to this tea-thirsty bloc of countries.

    “Russia is a big market and has got huge potential,” said ITA President A.N. Singh during the association’s 120th annual gathering. Total exports from India are estimated at 216 million kilos, up from 214 million kilos in 2012.

    Russia (CIS) annually imports 170 million kilos from several countries. CIS was formerly the largest market for India’s tea but now relies on Sri Lanka which sends about 50 million kilos annually, primarily orthodox. Exports from India have fallen to 32 million kilos the past five years. Russia pays an average $5 per kilo for a mix of CTC and orthodox teas from Sri Lanka. Singh believes India could market teas of comparable quality for $3 to $3.50 per kilo, according to the The (Calcutta) Telegraph.

    Tea Board Chairman M.G.V.K Bhanu noted that “the unit price of Indian tea has increased despite a surplus… this has happened due to improved qualities,” he said. Bhanu noted that Assam, Darjeeling and the Nilgiri tea producing regions are known worldwide but tea from the Dooars and Terai is abundant.

    “Clearly, Iran with its preference for orthodox teas presents a great opportunity for increasing export volumes and earnings,” he said. “Exports so far have been good. I believe we will be able to export 10-15 million kilos more than last year even if there is a loss in CTC production,” he said.

    Source: The (Calcutta) Telegraph, Business Standard 

    Retail

    BETHESDA, Md. – For the fourth year, organic bottled tea company HONEST Tea® has released a mission report, a document designed to share details of its business practices with customers. In this year’s publication the company acknowledged the “gray area” in which it is always operating — balancing sustainability with product quality and safety.

    loris_lemon_msThe report explores changes they have made in sourcing, supply lines, and ingredient purchases. For example, as they began replacing cane sugar with fruit juice to sweeten Honest Kids juice drinks, it required increasing purchases of grape juice by 270%. This called for new suppliers and sources. Overall in 2012, the company increased its organic ingredient purchases by 500,000 pounds. This is a six fold increase since 2007.

    There were a number of points specific to teas that are worth noting:

    • Honest Tea continued to source Fair Trade Certified (TM) ingredients, paying an annual premium of nearly 7% last year. This premium allowed Maud Tea Estate in Chamong, India to establish a microloan program for farmers to purchase cows and for the Organic Tea Farmer Association in Dazhanghsan, China to replace the bamboo raft they used to transport tea with a metal boat.
    • The company has announced that it will change its way of talking about antioxidants on its bottles. Beginning in 2013, total flavonoid content will be reported as opposed to specific catechins like EGCG.
    • The spent tea leaves from the production of Honest Tea are being provided to farms near three of their production facilities for use in composting.
    • Honest Tea released a Freshly Brewed iced tea line providing tea in a brewable pouch for the restaurant and food service industry. The goal was to reduce the use of single-serve bottles.
    • More of their teas will now be available in large, multi-serve bottles. The transition could save the equivalent of 700,000 16.9 fl. oz. PET bottles-worth of plastic.

    The full report is available through HONEST Tea’s website on the Sustainability page.

    Source: HONEST Tea®

    Trends

    SPARKS, Md. – Spice and herb manufacturing giant McCormick & Company unveiled the McCormick® Flavor Forecast® 2014: 125th Anniversary Edition last week and tea was a highlight.

    Each year the company brings together experts from across the globe to select top trends and new flavors that will be important in the food world in the year to come. This year’s top trends included chilies, modern interpretations of Indian food, cooking in compact urban kitchens, the foods and flavors of Mexico and Brazilian cuisine.

    Tea made its appearance in the list of the 5 top flavors for 2014. It was included as a “must-have” ingredient that is readily available and can enhance and amplify food flavors when working with minimal ingredients. Tea’s use as a culinary ingredient in soups, marinades and rubs was specifically mentioned. McCormick released two tea recipes related to the report:  Vegetable Pho with Tea Broth and Easy Lemon Tea-Infused Custard with Candied Apricots. Both recipes are available on their website.

    The other four flavors to hit the top 5 list were the Peruvian chile Aji Amarillo; Kashmiri Masala; a Mexican condiment composed of apricot, lime, chiles, and spices called Chamoy Sauce; and Cassava (or tapioca) flour.

    Download the Flavor Forecast

    Photos courtesy: McCormick & Company

    Trends

    Market Research Company Euromonitor International released a new e-book this week identifying the top five non-alcoholic drink trends in 15 countries throughout North and South America.

    LOGO_Euromonitor InternationalOverall South America will see growth in most categories in non-alcoholic beverages, as many consumers seek healthier beverages such as bottled water, juice and tea. Mature North American countries will see expanding opportunities in beverages such as coconut water and liquid concentrates such as Mio, Dasani Drops and Nesfruta.

    “Consumers in the Americas are continually looking for added convenience and greater health benefits in their beverage choices. Coffee and tea pods, along with liquid concentrates, are bringing both convenience and novelty to Canada and the United States,” says Senior Analyst, Kay Tamillow. “Meanwhile, the health and wellness trend continues to push dynamism in non-alcoholic drinks, especially in emerging markets in Latin America. Increased demand for functional drinks and more natural ingredients is driving a fast pace to innovation and new product launches across the region.”

    E-book Highlights:

    RTD Tea emerged as the fastest growing category in Venezuela for 2013. As the government has implemented price controls on juice, companies have focused on increasing production of RTD tea and consumers have shown a favorable attitude toward the category. RTD tea also remains the strongest growth category in Ecuador because consumers consider the product to be more natural and better for their health than carbonates.

    Coffee has the highest per capita consumption in Brazil (behind Europe). The government-backed campaign “Brazil, the coffee country” is intended to help consumption increase by a further 1kg per person through 2018. Foodservice has also played a role in coffee consumption, with McDonald’s entry into retail coffee in Canada and Starbuck’s entry into Colombia. McDonald’s limited product selection, poor displays and weak pricing strategy did not help performance in Canada. However, Starbucks will have significant impact on the domestic coffee market and local consumption patterns in Colombia.

    Carbonates Argentina has one of the highest per capita carbonate consumption levels in the world due to large acceptance of carbonated beverages and both aspirational and association consumption and the market is performing well. However, Uruguay’s consumption has decreased, as the population is shifting towards older segments that may be influencing lesser consumption. In Mexico, Coca-Cola has started delivering directly to homes, as many low-income workings make a habit of having a Coke and tortillas for their lunch and main meals.

    Bottled Water popularity is growing in many countries, especially in the Latin American region. In Argentina, Bolivia, Colombia and Chile, bottled water represents a major component of healthier drinking trends. In Costa Rica, bottled water hasn’t performed as well because consumers are looking for more health benefits and nutrients in their beverages. In the US, Fiji bottled water introduced a straw-cap in April of this year when it noticed many of its female celebrity fans were using straw to sip the water to prevent their lipstick from being smeared.

    Learn more: http://go.euromonitor.com/top-five-beverage-trends-by-country-in-north-and-south-america.html to download the E-book.

    Source: Euromonitor International

    — — —

    Tea Biz serves a core audience of beverage professionals in the belief that insightful journalism informs business decision making. Tea Biz reports what matters along the entire supply chain, emphasizing trustworthy sources and sound market research while discarding fluff and ignoring puffery.


    Tea Biz posts are available to use in your company newsletter or website. Purchase reprint and distribution rights for single articles or commission original content.  Click here for details.

  • Need to Know (Dec. 9, 2013)

    What tea professionals need to start the week.

    Look for a Downton Abbey tea truck roaming the streets of New York City this week… the Canadian government is appealing a B.C. Supreme Court decision that allows patients authorized to use medical marijuana to make hemp tea or bake it in their brownies… Watch a hilariously but aptly titled video report Pimp My Tea on Chinese TV… Check out the Immerset, a bottom-dispensing brewer with a valve in the base… The $40,000 Turner prize for art goes to a French woman who created an installation of tea cups with buttocks currently featured at one of England’s top museums… The 121-year-old Wagh Bakri Tea Group intends to expand from distribution of packaged tea to ownership of plantations in Assam…

     Retail

    WTN_PBSDowntownAbbeyTeaTruckThe drama Downton Abbey on PBS is certainly drawing attention to tea with manufacturers like Republic of Tea creating blends suited to the manor. To attract interest for the upcoming Season 4 a food van will traverse New York City offering free tea and biscuits to fans.

    The van is equipped with a backdrop of Highclere Castle for photo enthusiasts. To discover its whereabouts visit @PBS on Twitter and follow the hashtag #TeaTruck. Stops are planned from 11 a.m. to 7 p.m. through Dec. 13. Click here for a schedule.

    WTN_RepublicofTea_DowntownAbbey_EnglishRoseThe cast of the hit British series — the most-watched drama in PBS history — also will be in Gotham next week for media appearances, a VIP screening and a Dec. 12 standing-room-only fan event at The Times Center that will include a panel discussion with exec producers Julian Fellowes and Gareth Neame.

    Source: Variety

    Pimp My Tea

    China’s CCTV assigned a reporter to visit Los Angeles last week to describe the tea industry in America.

    The serious video report, hilariously but aptly titled Pimp My Tea, includes an interview with International Tea Importer (ITI, Inc.) and Chado Tea Room Founder Devan Shah, a visit to the American Tea Room in Beverly Hills and conversations with tea drinkers.

    In America “the tea is infused with all sorts of interesting flavors” explains the reporter as the camera pans pouches labeled Macaroon (cacao bits, rooibos, coconut, licorice) and Toasted Fig (pu-erh, figs, dandelion roots, coconut flakes and fennel) or Brioche, advertised as “aromatic as a French patisserie” with almonds, cinnamon and safflower blossoms.

    To a purist, concoctions like Chamomile Lemon and Dry Desert lime seem quite ordinary beside Carrot Curry and Beef Cabbage, Spinach Chive and Broccoli Cilantro “tea.” The blends described above no doubt appear to the Chinese exactly like the garish, gaudy and extravagant embellishments gangbangers use to transform 1970s caddies, a vintage Ford Fairlane or Lincoln Continental into pimpmobiles.

    The Chinese treasure several blends such as Jasmine green tea but for the most part consumers there seem content with tea processed much as it was a 1000 years ago. In America the blends featured in most shops were developed within a few months of launch. They appear and disappear with the season.

    Source: CCTV Culture Express

    Innovation

    TEABIZ-Immerset_CupBrewing methods continue to evolve at both extremes. Last month I wrote about semi-automated $6,000 brewers ideally suited to coffee shop drive-thrus that can make multiple cups of tea in less than 90 seconds.

    Immerset is at the other extreme, a simple invention that combines the gentle immersion of a French press with the control of pour over.

    Inventor Chic Kelty enjoys both coffee and tea. He has several award-winning designs for products from portafilters and espresso machines to tampers. I still use his nifty silicone basket to catch the coffee grounds in my French press.

    Instead of specialized brewers for each beverage, why not a single brewer with maximum versatility? he asked. Steeping ground coffee and tea leaves are similar but hardly the same. The secret to the Immerset is a valve he built into the base to control the flow of liquid.

    Kelty told me that the patented helical valve design allows for intuitive and simple refinement of technique. Kelty’s design is perfect for loose-leaf tea as it allows the water to drain completely between cups to avoid bitterness.

    The Immerset debuted on Kickstarter last week and is already partly funded by more than 100 enthusiasts with a month until the funding deadline.

    Unlike many coffee brewing devices, hidden surfaces and niches have been eliminated to ensure the most hygienic function possible, said Kelty. “The entire water chamber and passage is sheathed in food-grade stainless steel so there is no hot-water-on-plastic contamination,” he said.

    In making coffee controlling the grind density, flow rate and immersion time can be difficult but all three are essential to a great cup.

    As Kelty explains, “with French press brewing, the barista is able to control the steeping duration but the system is intolerant of variability in grind density which limits the brew options and results in less dynamic flavor. “ In addition, prolonged immersion of the coffee between cups can result in bitterness and degradation of flavor.

    “In contrast, pour-overs and cold brew methods allow for finer grind which can achieve a more refined taste however it can be a complicated and time consuming task to finely tune the immersion time and consistently produce the desired outcome,” he said.

    Other features include:

    • Intuitive function with easily replicable technique
    • Integrated insulating design that keeps the brew hot between servings
    • Food-safe, impact resistant ABS for strength and insulation
    • Tool-free assembly
    • Silicon seals for leak-proof assembly

    The Immerset offers maximum versatility by addressing several variables collectively with one device.

    Learn more: Immerset

    Cultivation

    The Descanso Gardens located in the hills above Los Angeles are an extraordinary tribute to floral splendor. Among the most appealing of its annual events is the Camellia Festival, a celebration of the flowering beauty of Camelia sinensis and its close cousins. The camellias brighten the dull dry grass of the Southern California winter. This year Chado Tea Room instructor Jordan Essey will lead a walk and talk and host a tea ceremony at the end of the daylong event Feb. 8-9, 2014. The tea ceremony is Sunday only from 11 a.m. to 2 p.m. Years ago I was editor of the Glendale News-Press and lived near the gardens. Click to view the newspaper’s photo gallery of last year’s Camellia Festival. Should you wish to plant your own Camellias, consider Green Tea Plants, a Florida nursery that specializes in providing home gardeners with tea plants from which you can make tea.

    Source: Descanso Gardens and Green Tea Plants

    Health

    The Canadian government will appeal a British Columbia Supreme Court decision that allows patients authorized to use medical marijuana to drink hemp tea or bake it in brownies.

    The Vancouver Sun reports that Owen Smith, the former head baker for the dispensary Cannabis Buyers Club of Canada will seek to uphold his constitutional victory in April 2012 against Health Canada’s medical marijuana access regulations.

    Smith successfully argued that consuming prescribed marijuana is less harmful than smoking the plant’s leaves. His attorney said the right of medical marijuana patients to medicate themselves with cannabis and cannabis derivatives should be protected by the Charter of Rights and Freedoms.

    Justice Robert Johnston ruled that it was unconstitutional to restrict medical-marijuana patients to using dried pot. He gave Health Canada a year to respond to his ruling, a deadline that was later extended.

    The newspaper reported that patients in B.C. have been able to make their own oils, butters, baked goods and lotions following the ruling. Since June, designated producers have also been able to supply patients with products made from cannabis extracts.

    Source: Vancouver Sun and Times Colonist

    Doctor Fined for Claiming Tea Cures Cancer

    An Australian physician was fined $25,000 by the Australian Medical Board for telling patients that he could cure cancer with a special diet that included green tea supplements.

    An account in the Medical Observer explains that Dr. William Barnes who practices in Perth, acted “improperly” and was banned from advertising unproven cancer treatments.

    The advertisement claimed Dr. Barnes’ treatment comprised oral and/or intravenous administration of green tea polyphenols, genistein from soy beans, curcumin from turmeric, quercetin, vitamin C, selenium, “anti-cancer herbs”, and “mineral replacements” following hair analysis and a diet, the board said.

    “He was also ordered to have any patients with cancer read a form stating that he supported “treatment provided by oncologists [including] chemotherapy and other drug therapy.”

    The consent form states that the patient “understand[s] that there is no evidence that taking any of these substances or receiving the intravenously will cure my cancer or slow the progression of my cancer.”

    The decision is likely to discourage other fake cancer claims and treatments and save lives.

    Source: The Medical Observer

    Origin

    GUWAHATI, India — Packaged tea retailer Wagh Bakri Tea Group, one of India’s largest tea suppliers, announced it will acquire the first of several tea gardens next year.

    Chairman and managing director Piyush Desai expects to purchase five to seven Assam estates by the end of 2015. The 121-year old brand, which is headquartered in Gujarat, distributes 30 million kilos of tea annually, most of it sourced in Assam.

    Desai told the newspaper that acquiring plantations will offer greater control over quality and production. The company is also considering supplying coffee and expects to increase its three retail tea lounges.  “We will add another 20 outlets, 10 each in Delhi and Mumbai,” he said.

    Source: India Times

    Whimsy

    Jurors for the coveted Turner prize for art selected a tea table as the winning installation.

    Artist Laure Prouvost built a cabin for her fictional grandfather, an eccentric artist with a passion for tea who ostensibly lived in the shack, jamming it with junk all of which is captured on film.

    The smaller scale installation consists of a rough table set for tea with whimsical pots and tea utensils and cleverly shaped cups each resting on buttocks.  Patrons sit in chairs and watch the film projected on a large digital screen. The work is titled “Wantee” so named for a woman who asked visitors “Do you want tea? Want tea? so often that everyone ended up calling her Wantee.

    The centerpiece as reported by The Guardian “purports to tell the unlikely story of her grandfather, a conceptual artist who was a friend of Kurt Schwitters, the exiled German collagist and performance artist. Her grandfather’s last artwork, we learn, involved digging a tunnel underneath his home, down which he eventually disappears. This unnamed grandfather is portrayed as an art-world boob living in a squalid shack, just as Schwitters did. He wants to be a conceptual artist, but doesn’t know how.”

    “He keeps getting it wrong,” says Prouvost. “He misunderstands everything.”

    The work is intended as an exploration of “generational divides and artistic legacy.”

    “It is a funny, sad world she has created, filled with objects nobody could want, teeming with art that is useless as art. In what we are to believe is her grandfather’s filthy old cabin, sculptures double as doorstops, paintings are used to patch holes in the walls,” writes critic Stuart Jeffries.

    Prouvost received £25,000 ($41,000). The work remains on display at the Ebrington Barracks in Derry until Jan. 5, 2014.

    Source: The Guardian

    — — —

    Tea Biz serves a core audience of beverage professionals in the belief that insightful journalism informs business decision making. Tea Biz reports what matters along the entire supply chain, emphasizing trustworthy sources and sound market research while discarding fluff and ignoring puffery.


    Tea Biz posts are available to use in your company newsletter or website. Purchase reprint and distribution rights for single articles or commission original content.  Click here for details.

  • Need to Know (Dec. 2, 2013)

    What tea professionals need to start the week.

    The India Tea Board may get a new chairmana Canadian study in the Journal of Toxicology revealed many teas contain sufficient concentrations of lead for physicians to recommend pregnant women “severely limit” their use…  black tea production is up by 8.5% globally… tea prices at the Mombasa auction center slide to a five-year low… the North American Tea Championship names 13 first-place single-serve winners… some specialty tea growers with the help of Tealet are exploring bitcoin to avoid heavy banking fees… Ippodo, a 300-year-old Kyoto retail venture opens in New York City… iconic Typhoo Tea reportedly hired British marketers to question why Sainsbury’s grocery chain stop stocking its teas… an unusual false advertising lawsuit was filed alleging Hain Celestial for allegedly misleading consumers into believing its herbal tisanes were healthful… a Tokyo museum will unveil this week a display of 600-year-old tea bowls inspired by Sen Rikyu.

    * Lead Concentrations in Tea Unhealthy for Pregnant Women
    * India May Soon Replace Tea Board Chairman M.G.V.K. Bhanu
    * Global Black Tea Production is up 8.5 percent
    * Tealet uses bitcoin to Help Growers Bypass Commerce Fees
    * Single-serve Tea Champions Announced

    Health News

    Expectant and nursing mothers should “severely limit” their consumption of many teas according to a study by the University of Alberta. Even very small amounts are harmful. Consumption risks disrupting the neurological development of fetuses, whose brains are particularly susceptible to foreign substances, according to a report in the National Post of Canada.

    The research study, published in the Journal of Toxicology, tested tea in tea bags, noting that the greatest concentration of heavy metals was in tea from China.

    “We were quite surprised,” said Dr. Gerry Schwalfenberg, the Edmonton physician who co-authored the research. “If you drink three or four cups a day, which a lot of people do, you’re getting too much [lead] for baby,” he told the newspaper. In expectant mothers, heightened levels of lead in the blood have been linked to hypertension, spontaneous abortion, low birth weight and neurological problems, says the American College of Obstetricians and Gynecologists. Lead levels in the teas exceeded .5 micrograms per liter, the limit deemed safe for pregnant and nursing women. Dr. Schwalfenberg said most non-pregnant adults need not worry. Source: National Post

    Retail News

    Argo Tea, Madura Tea Estate and Newby Teas won top honors in black tea categories in the North American Tea Championship‘s single-serve competition while Newby Teas and Madura Tea Estate, Harney & Sons Fine Teas and Teapigs were recognized for their green teas. Numi was named best in Pu-erh and Waterfall Teas and Silk Road Teas were awarded top prize for their oolongs. Teapigs and the Stash Tea Company entries were judged best among herbals. Entries include packaged tea in teabags, sachets, bottles and cans. Most teas were scored in the 70s with a high score of 81 of 100 points. Judges described teas scoring 80-89 as “Very Good: A tea with superior characteristics.” Click for a list of all winners. Learn more: www.TeaChampionship.com

    Nourishtea founder Avi Markus is partnering with Zast Foods. Toronto-based QOL Programs Inc., owned by Markus, will introduce the line in key U.S. markets. “I’m thrilled to be back involved with this exceptional brand, and I am confident that it will do extremely well in the U.S.,” said Markus. The tea set in the natural grocery channel “is ready for a contemporary and quite frankly, exciting loose leaf brand, with an honest value proposition,” he said. AJ Letizio Sales and Marketing is assisting the launch. Nourishtea is part of the Buyer’s Best Friend wholesale network www.bbfdirect.com. Learn more: www.nourishtea.ca

    Typhoo Tea collaborated with Intelligent Marketing Solutions (IMS) to pay field workers to pose as disgruntled customers and pressure British grocer Sainsbury’s to return Typhoo tea to the shelf. An email, leaked to The Sunday Times, instructed IMS staff “to contact Sainsbury’s by the following methods [email, Facebook, etc.] to ask why they no longer stock Typhoo tea in a specific store (the stores will be listed) and to ask if the product can be restocked.” The memo went on to say, “You will be provided with a Sainsbury’s store for each call, but this may not be a store near you. However, because this is an online assignment, this will have no bearing on you conducting this assignment successfully.” Staff was offered $2.50 per phone call and for contacts made via social media and $4 per letter. The campaign was postponed once the scheme was made public. Source: The Sunday Times

    The Food Navigator reports that Hain Celestial has been targeted in a first-if-its-kind putative class action lawsuit alleging that it falsely advertised Celestial Seasoning teas as 100% natural when they in fact contain “potentially dangerous” levels of pesticides, herbicides, insecticides, carcinogens, and/or developmental toxins. In the complaint, filed in the central district of California on Nov. 6, plaintiff Tatiana Von Slomski alleges that 10 Celestial Seasoning teas “contain contaminants in levels violating federal standards included in 40 CFR § 180, and some contain contaminants included in the current Proposition 65 list [including Propachlor and Propargite], for which no safe harbor limits have been established.” A spokesperson for Hain Celestial told Food Navigator-USA that the firm was “confident that the facts will demonstrate that the lawsuit… is without merit.” Source: The Food Navigator

    LOGO_IppodoTea_Kyoto-NYCIppodo Tea, a 300-year-old Kyoto-based green tea merchant, has opened its first New York City shop at 125 East 39th St. It is co-located with the restaurant Kajitsu. Teas are served with cuisine by Chef Ryota Ueshima, reports Lauren Mowery in The Village Voice.

    “The restaurant honors a centuries-old cuisine that was developed by Zen Buddhist monks to precede their tea ceremony, a spiritual experience and exercise in quiet refinement,” writes Mowery.

    Tea Forte Noir Collection
    Tea Forte Noir Collection

    Tea Forté has introduced a new line of pan-roasted black teas with flavors like Black Cherry, Blood Orange, Peach Brulée and Chocolate Rose to appeal to coffee drinkers. The Noir line is new for the holidays. Packaging is typical of what is required to market gift tea. Format include a foil pack with 15 single steeps ($12) a small tin ($5.50), a medium tin ($12) an 80-gram canister ($15) and everyday boxes selling for $15 and $24. Source: Tea Forté
    See: Holiday Gift Trends

    Origin

    M.G.V.K. Bhanu
    M.G.V.K. Bhanu

    M.G.V.K Bhanu, chairman of the Tea Board of India may find his five-year term cut short at the insistence of Assam Chief Minister Tarun Gogoi. Bhanu, a career government officer in the Indian Administrative Service since 1985, declined to comment, telling the The Hindu Business Line that he had not received “any official order.” The news has led to widespread speculation among the tea community as to who might replace Bhanu. The federal appointment may occur as soon as January. Source: The Hindu Business Line

    Global Tea Digest’s Publisher Rajesh Gupta analyzed global black tea production and reports an increase of 8.5% during the first 10 months of 2013, reaching 1,649 million kilos. The tally is 129 million kilos greater than the same period last year. The biggest increase is in Kenya where small growers produced 62.3 million kilos. The Kenya Tea Development Agency (KTDA) anticipates total yield of 415 mkgs in 2013 up from 369 mkgs last year. India reports a 54 million kilo increase and Sri Lanka 8.3 million more kilos. Bangladesh and Malawi also reported gains. Only Uganda reported lower production by 1.1 million kilos. The totals do not include black tea production in China which is rapidly growing.

    Prices at the Mombasa Tea Auction continue to erode according to the East Africa Tea Trade Association, which operates the auction. “The decline in auction prices has eroded farmers’ earnings considerably. The whole industry is facing serious cash flow problems,” the EATTA’s Chairman Lerionka Tiampati told The Standard. Tea is trading at $2.14 per kilo in Mombasa with some lots selling well below the cost of production. Prices also fell at the India Coonoor tea auction where tea is bringing INRs 77 ($1.23) a kg, down 20-cents a kilo compared to last year. Sources: The Hindu Business Line and The Standard.

    The India Tea Board withdrew the permanent export licenses of 150 traders for inactivity and canceled 88 temporary trading licenses for failure to submit monthly reports. Exporters are first issued a three-year temporary license. A license holder exporting 100,000 kilos or more annually for three successive years qualifies for a permanent license that does not require renewal. Failure to export tea during a three-year period results in cancellation. Tea production rose to 156.70 million kg in September up by 13% compared to the previous year. Total production grew to 1,135 million kg in 2012-13 but most of the tea is consumed domestically. Source: The Hindu

    Historical

    Nue tea bowl | Mitsui Memorial Museum
    Nue tea bowl (Raku) | Mitsui Memorial Museum

    A Tokyo museum unveils this week a display of 16th Century tea bowls (Raku) inspired by Sen Rikyu and tile master Chojiro. The hand molded bowls of red or black clay are among Japan’s most valuable and revered tea-ceremony vessels. The exhibition contains more than 100 works donated by the Kishu Tokugawa and Mitsui families. The exhibit runs Dec. 4-Jan 25. Source: Mitsui Memorial Museum

    Innovation

    Tealet, an online marketplace for tea, is working with several small growers to make payments using bitcoin, a digital currency.

    Elyse Petersen, CEO, told The Hindu “Just as we bypass the middle-man and vendors through Tealet, bitcoin will let us bypass banks and online payment systems such as PayPal. Heavy transaction fees hamper business according to Petersen who charges 7 percent for foreign exchange fees, transfer fees and processing. Transaction fees on PayPal, for instance, run as high as 10 percent.  Source: The Hindu Learn more: www.tealet.com

    — — —

    Tea Biz serves a core audience of beverage professionals in the belief that insightful journalism informs business decision making. Tea Biz reports what matters along the entire supply chain, emphasizing trustworthy sources and sound market research while discarding fluff and ignoring puffery.


    Tea Biz posts are available to use in your company newsletter or website. Purchase reprint and distribution rights for single articles or commission original content.  Click here for details.

  • Need to Know (Nov. 25, 2013)

    What tea professionals need to start the week.

    Rooibee Red’s Heather Howell, Chief Tea Officer at the Louisville, Ky., firm succeeded in convincing Google to serve her Rooibos in the company’s employee cafeteria… relatively few of the 100,000 small tea-growers in Assam who pay taxes benefit from the general welfare fund… a Japanese study found that drinking tea correlated with reduced psychological distress, easing depression… an Indian company has developed an electronic tongue to classify tea… and finally, a tribute to “Doctor Who,” a tea lover who celebrated on Sunday his 50th TV Anniversary on the longest running sci-fi series in history.

    • Persistence Pays for Rooibee Red
    • Assam Small Growers
    • Tea Eases Depression
    • Retail News

    Chief Tea Officer Heather Howell visited the Google Inc. campus in Mountain View, Calif., to present her Rooibee Red Tea last month. The visit proved worthwhile as the company recently advised her that the Rooibos blends will be offered in the company cafeteria beginning next year.

    Howell was featured in the Wall Street Journal’s The Accelerators blog last week where she used the metaphor of a roller-coaster to present a number of practical suggestions for those starting a tea business. “After four years of twists and turn, fortunately many of them positive, I have some advice for your journey.”

    “Be conscious and strategic about whom you sit next to.  My goal is to hire people who are a) smarter than me, and b) have skill sets I do not possess,” she wrote. When working with investors, “I aim to under-promise by a little and over-deliver by a lot.”

    She advised readers that a “good mentor is a wonderful stabilizing force in the life of an entrepreneur. A good mentor took the journey before you and can give you a heads up of what may be around the next bend.”

    At the onset “have an idea of what the end of ride looks like before you begin. Don’t get side-tracked. Prepare yourself for an exit and continue to exceed goals and stay focused along the journey,” she advised.

    Source: Business First Louisville (American City Business Journals), Wall Street Journal

    Origin

    GUWAHATI, Assam — Five years ago the government of Assam began taxing small growers 4-cents for every 10 kilos of tea to establish a general welfare fund to benefit workers.

    Small growers do not enjoy the medical, education and housing benefits of plantation workers on the state’s 765 tea estates. Small growers, many organized into Self Help Groups (SHG), raise about 30 percent of the 570 million kilos produced annually.

    Only 600 SHGs representing a fraction of the state’s 100,000 growers have sought assistance, according to the All Assam Small Tea Growers’ Association (AASTGA).

    “A large chunk of the growers were left out despite the fact that all the small growers bore the cess,” the group’s General Secretary Karuna Mahanta told the Times of India. All who contributed are entitled to the same benefits under the Assam Cess Utilization Policy, said Mahanta who is asking that government make public the fund total. Along with the money collected along, a matching sum was called for by the legislation.

    “We have been asking the government to amend certain clauses in the policy so that small tea-growers get the real benefit of the corpus fund. Unfortunately, the government has not made any such move yet,” he said.

    Source: Times of India

    Health

    Researchers in Japan found that frequent consumption of green tea is associated with fewer symptoms of depression both in the working population and in a community of older residents.

    A study in the journal Public Health Nutrition in March 2013 showed that higher green tea consumption is associated with a lower prevalence of depressive symptoms in workers aged 20 to 68 years. Researchers at the Department of Epidemiology and Prevention at the National Center for Global Health and Medicine in Tokyo reported those consuming four or more cups of green tea had a 51 percent lower prevalence of depressive symptoms. Coffee drinkers showed a less pronounced but similar association.

    The results are consistent with previous study of a community of older residents in 2009.

    Mild and severe depression was common in the cross-sectional sample of 1058 residents aged 70 and older in Sendai, Japan. In that study researchers from the Tohoku University Graduate School of Biomedical Engineering found 34 percent of the sample suffered from mild depression and 20 percent reported symptoms of severe depression on the 30-item Geriatric Depression Scale. Those drinking less than a single cup daily showed the highest incidence of mild depression while a third of those drinking 2-3 cups per day experienced no depression and 44 percent of those drinking four or more cups a day were less likely to have symptoms compared to those drinking one or fewer cups of tea. No similar correlation was demonstrated for black or oolong tea. “Similar relations were also observed in the case of severe depressive symptoms,” according to researchers. The study was published in the American Journal of Clinical Nutrition.

    Source: Am J Clin Nutr. 2009 Dec;90(6):1615-22. doi: 10.3945/ajcn.2009.28216. and Public Health Nutr. 2013 Mar 4:1-9.

    Learn more: Tea: 6 Brilliant Effects on the Brain

    Innovation

    Experienced tea tasters are an elite group with similar skills but no two are identical.

    Not so with the impedance tongue and digital camera perfected by Central Scientific Instruments Organization (CSIO) in Chandigarh, India.

    Studies show that 90 percent of what we taste is actually due to what we smell.

    Nano sensors in the electrode of an  iTongue can identify 70 chemicals in tea, which is seven times more than human taste receptors.  Meanwhile a camera (3CCD) precisely identifies the color associated with a perfectly steeped cup.

    The device is calibrated with 100 samples after which it “has amassed a huge pool of information for comparison,” according to Amol Bhandekar Senior Scientist at CSIO.

    Bhandekar told  the New Indian Express “the tea tasters’ observations are subjective depending on his health and mood, but the iTongue will provide consistent evaluation. We have already  manufactured a ‘proof sample’ and are working on a marketable prototype.”

    Learn more: Central Scientific Instruments Organization

    Whimsy

    TEABIZ-BeastlyBeverages_DrWho
    Doctor Who Tea

    “Doctor Who” marked his 50th TV anniversary Sunday with a day-long celebration of the series. The show first aired Nov. 23, 1963. More than 10 million tuned into the Day of the Doctor program produced by BBC Entertainment. It is the longest running sci-fi program in history. The anniversary episode brought together the 10th Doctor David Tennant and Rose Tyler and 11th Doctor Matt Smith and Clara Oswald.

    In honor of the good doctor, the blenders at Beastly Beverages created a special tea available at the company’s Etsy shop.

    Learn more: Dr. Who Anniversary Episode

    — — —

    Tea Biz serves a core audience of beverage professionals in the belief that insightful journalism is one of the most effective forms of professional education. We write about what matters along the entire supply chain, emphasizing trustworthy sources and sound market research while discarding fluff and ignoring puffery.


    Tea Biz posts are available to use in your company newsletter or website. Purchase reprint and distribution rights for single articles or subscribe. Custom content available. Click here for details.

Verified by MonsterInsights