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Topic : Tea Plantation Industry in India

GS-3 Mains  : Economy

Overview

  • India: World’s 2nd largest tea producer, largest black tea producer, and 4th largest exporter.
  • Employment: 1.16 million direct jobs, equal number indirect.
  • Production: Assam contributes 55%, production increased 39% from 2008 to 2022.

Challenges

  • Rising costs: Input costs (gas, coal) increased faster than tea prices.
  • Demand-supply imbalance: Overproduction, weak exports due to Iran market decline.
  • Export dependence: Vulnerable to global market fluctuations and trade policies.
  • Competition: Substandard tea from Nepal.
  • Sustainability: Pressure for eco-friendly practices.
  • Other factors: Stagnant prices, market concentration, declining tea quality.

Tea Board of India

  • Role: Statutory body under Ministry of Commerce, promotes tea cultivation, processing, and trade.
  • Initiatives: Education stipend for small tea growers, SHG, FPO, FPC formation, “Chai Sahyog” app.

Government Interventions

  • Export promotion: Better infrastructure, increased RoDTEP rate, reduced interest rates.
  • Market regulation: Regulate tea waste, restrict low-quality imports, promote tea’s health benefits.

Geographical Conditions

  • Climate: Tropical and subtropical, warm, moist, frost-free.
  • Soil: Deep, fertile, well-drained, rich in humus.
  • Temperature: 15-23°C average annual temperature.
  • Rainfall: 150-200 cm annually.
  • Major tea-producing states: Assam, West Bengal, Tamil Nadu, Kerala.
  • Other states: Himachal Pradesh, Uttarakhand, Meghalaya, Andhra Pradesh, Tripura.

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