Tea output rises 12% in June despite drought in Assam

Tea output rises 12% in June despite drought in Assam

New Delhi: Tea production rose by 12% in June to 118.05 million kg despite a drought in Assam, partly offsetting the dip in output in the first two months of this fiscal.

The output till June is still short by 11.78 million kg as production was dented in the first two months of the fiscal due to the situation in Assam, according to the data by state-run Tea Board.

“The country produced 118.05 million kg in June, compared with 105.44 million kg in the same month last year. However, the output till June this fiscal stood at 333.89 million kg against 345.68 million kg in the year-ago period," a senior Board official said.

Interestingly, production in Assam bounced back in June with a rise of over 8 million kg from the last year level. The state accounts for about half of India’s total tea production.

Keeping in sync with the rise in output, tea export rose to 14,952 tonnes in June from 14,800 tonnes a year before. The overseas shipment between April and June at 36.08 million kg, however, lagged the last year level of 39.82 million kg.

In value terms, however, the rise in export is more significant. India exported tea worth close to Rs500 crore till June this fiscal, compared with Rs437.62 crore in the year-ago period despite a dip in volume.

An industry official said high prices of Indian tea in the global market due to a surge in demand has boosted the export in value terms. The average price rose to Rs138.52 a kg till June from Rs102.76 in the year before.