Tea Export On Decline, Says a Tea Board Task-Force Member.

Ahmedabad, (PTI) Tea export from India is decreasing and is likely to be around 170 million kg this fiscal against the backdrop of growing domestic consumption, a member of the task force set up by the Tea Board of India said today.

"Indian tea exports are expected to go down to 170 million kg levels this fiscal compared to 180 million kg last fiscal," said Parag Desai, a member of the task force set up by the Tea Board for ''re-branding of Indian tea in the global market''.

India, which is among the largest tea producers in the world, faces a stiff competition from Sri Lanka and African countries, he said.
"Every year the Indian bulk tea exports are going down," Desai told reporters.

The target for export in 2009 was close to 200 million kg, however it could not be achieved, he said.

India''s tea production in the FY 2010-11 is estimated to be 950-970 million kg, and consumption would be close to around 800 million kg.
"Due to superior quality and substantial price-hike, the domestic market is becoming more viable for the Indian tea producers, as compared to the exports," said Desai, who is also the Executive Director (Sales and Marketing) with Wagh Bakri Tea group.

"The tea prices in India have gone up by about 15 per cent in the last one year. However, there is a good domestic demand for superior quality tea," he said.

According to Desai, the domestic tea consumption which was stagnant in the past has begun to rise two to four per cent annually. PTI VKB PD

Source : news.in.msn.com