Despite a sharp decline in purchases by Iran, a key buyer, Indian tea exports are predicted to be higher by 13 per cent at around 220-225 million kgs (mkg) in 2022 on higher demand from the Russian Federation, CIS countries and West Asia. India had exported 195.5 million kgs in the 2021 calendar year.
Tea exports during January-October 2022 were up by 16 per cent at 185.31 mkg compared with 159.88 mkg during the same period last year, as per Tea Board data.
According to industry insiders, exports could have been higher had the situation in Iran been “normal” and export orders were received as usual.
Fall more sharp?
Iran, a vital market for Indian orthodox teas, was the second-largest buyer in 2021. The shipments to Iran declined by nearly nine per cent to 19.52 mkg during January-October 2022 against 21.45 mkg last year. The decline in exports could be higher as Iran has stopped buying Indian teas for over a month now.
However, the decline in purchases by Iran is offset by…