Tea exports jump 14.28% in May.

Tea exports from India increased over 14.28 per cent to 11.20 million kg in May from 9.8 million kg during the same period last year, data published by the Tea Board of India showed.

Production during the month rose 1.7 per cent to 72.63 million kg from 71.37 million kg in May 2009 on the back of higher output in the southern states.

India exports CTC tea mainly to Egypt, Pakistan and the UK, and the premium orthodox variety to Iraq, Iran and Russia. The country is the largest exporter followed by Kenya.

According to the Tea Board statistics, exports during January-May rose to 71.18 million kg from 59.60 million kg a year earlier.

Production rose to 234.93 million kg from 215.85 million kg during the period.

Total production in the country rose during May despite a fall in output in key producing state Assam.

In North India, production declined to 47.4 million kg from 50.32 million kg mainly because of the fall in production, by about 3.5 million kg, in Assam. Output in southern states rose to 25.22 million kg from 21.05 million kg.

However, in value terms, exports in May declined to Rs 129.78 crore from Rs 135 crore because of lower realisation — which fell to Rs 115.84 per kg from Rs 138.13 per kg.

In value terms, exports stood at Rs 869.45 crore against Rs 770.86 crore in January-May.

However experts feel, increasing production in Kenya and Sri Lanka are likely to affect India’s exports.

Sri Lanka’s output in the first four months of the year was up 27 per cent compared with the previous year, which saw global production coming down because of the erratic weather.

Kenya’s output rose 69 per cent to 111.7 million kg in the first quarter of 2010 and exports increased 24 per cent to 117 million kg.

Source : Telegraph India