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Tea exports realisation may impact marginally after Brexit.


Date: 25-06-2016
Subject: Tea exports realisation may impact marginally after Brexit
India’s tea exports to Britain and other European nations may have some impact in value terms after Brexit vote, a top Tea Board official said today.

“I dont see there will be any impact of tea export in quantity terms, but there could be slight impact in terms of realisation of exports to Britain and may be to other European countries also,” Tea Board Chairman Santosh Kumar Sarangi told.

The tea exports to European Union in the last fiscal was close to 42 million kg, out of which about 20 million kg was to United Kingdom only.

The EU accounts for more than 15 per cent of the country’s total tea exports which was more than 232 million kg in the last fiscal.

The beverage exports to the UK stood at 0.48 million kg valued at Rs 7.64 crore in April this year, as against 0.55 million kg valued at Rs 9.20 crore in the year ago period.

India is the world’s second biggest tea producer and also one of the largest consumers.

The country exports CTC (crush- tear-curl) grade tea to countries like Egypt, the UK, and other traditional varieties to Iraq, Iran and Russia.

The sector is facing issues including migration of laborers to other industries.

Source : financialexpress.com

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