India Tea Production fails to reach 1 billion kg mark

Tea production increased 2.2 per cent in 2011 to a record but lower crop in West Bengal and Tamil Nadu prevented it from touching the magic one-billion-kg figure.

According to Tea Board data, production increased to 988.32 million kg (mkg) against 966.40 mkg the previous year. The previous record production was witnessed in 2007 when the production was 986.43 mkg.

WEST BENGAL

Output in West Bengal dropped to 226.36 million kg against 229.78 mkg a year ago, particularly with Terai region being a drag. Production in Terai dropped to 73.33 mkg against 76.35 mkg. Similarly, Dooars produced 143.23 mkg tea (144.56 mkg).

The West Bengal crop was hit by heavy rain during monsoon last year.

Darjeeling tea production increased to 9.7 mkg against 8.8 mkg a year ago.

Production in Assam increased over 28 mkg to 508.74 mkg with the Assam valley contributing an additional 31.93 mkg at 460.66 mkg (428.73 mkg). There was a 3 mkg drop in production in the Cachar region (40.97 mkg vs 51.55 mkg).

TAMIL NADU

In South India, production dropped by 2.4 mkg to 240.88 mkg (243.37 mkg) with the crop being over 3 mkg lower in Tamil Nadu. Kerala reported a better crop, while there was marginal fall in Karnataka.

Tamil Nadu's crop was hit initially by a dry spell in the early parts of 2011 and then by wet spells and frost in the latter part of the year.

The country had targeted a production of 1 billion kg by 2010 but poor crop management due to lower prices and weather combined to cause setback.

After touching a record 986.43 million kg in 2007, tea production dropped to 980.82 mkg in 2008 and further to 978 mkg in 2009 and 966.40 mkg in 2010.

Higher prices following lower crop in Kenya and Sri Lanka led to better prices in 2010. This, in turn, led to better crop management and higher production last year.

However, exports are estimated to have dropped by over 6 mkg in 2011 to 186.73 mkg (193.29 mkg) as Kenya and Sri Lanka made a strong comeback. Problems in exports to Iran and Iraq also contributed to the drop, last year.

Source: Business Line

Tea output in first seven months up 6.37%

India's tea production in the first seven months of current calendar has increased by 6.37 per cent over the same period of last year, reveals an analysis of the latest data available with Tea Board and producers' organisations. Between January and July, production increased to 491.59 million kg (mkg) from 462.16 mkg during Jan-July 2010. This increase of 29.43 mkg marks a growth of 6.37 per cent. The increase would have been more had it not been for a decline of 3.60 mkg in South Indian production. North India posted a gain of 33.03 mkg. North Indian output rose by to 348.14 mkg from 315.11 mkg. Assam continued to dominate India's tea map with a production of 234.32 mkg (last year: 204.50) accounting for 47.67 per cent (44.25 per cent) of the country's overall output. West Bengal's production increased to 110.38 mkg (107.33) of which, the share of Darjeeling tea, hailed to be the tea champagne, was 4.99 mkg (4.20). South India's production dropped to 143.45 mkg from 147.05. Tamil Nadu's output declined to 100.19 mkg from 103.27 mkg. Kerala and Karnataka also posted lower production. Source: Business Line

Pest attacks may eat into India's tea production this year

New Delhi, Aug 24 (PTI) India''s tea production may be slightly less this year year because of lower production in Assam due to excess rain and pest attacks.
"Tea production is set to fall slightly. But, it is difficult to peg the decline now," an industry official said.

Quoting the Tea Board data, the official said that during the first five months of the current year ending May, domestic tea output increased by 8.8 per cent to 234.93 million kg against 215.84 million kg in same period last year.
However, production started falling soon after. The June output was lower by 11.8 per cent to 104 million kg narrowing the first five month''s gains of 19 million kgs down to just 4-5 million kgs over the same period last year, he said.
Indian Tea Association has already mentioned production in Assam, the largest producing state, is likely to fall by two million kgs in July as all the major tea groups operating there reporting significantly lower output.

"It is apprehended that with this decline and with the outlook in August also reportedly uneven - with poor weather persisting in several parts - it would be difficult to make up the already significant decline of 10 million kgs which has been registered to date in North India," it added.

World''s largest tea producer McLeod Russel, however, said that India''s production is likely to remain stable at 975-980 million kgs in current year against 979 million kgs last year.

"North India may produce 15-20 million kg less tea during the year over the last year. However, South India is likely to fill in the gap with a better production than last year," its Chief Financial Officer Kamal Baheti said.

Baheti said that the North Indian production would dip as a result of excess rains and pest attacks, while South India would gain from favourable weather conditions.
Tea Board had earlier said that the production is likely to touch one trillion kg this year.

Source: PTI