Adverse climatic conditions could reduce 50% of Assam’s tea production

India’s epicenter of tea production, Assam could see a staggering 50% decline this year due to adverse climatic conditions. The industry serves as the largest employer in the state.

Recent data released by the Tea Board of India indicates a sharp decline of approximately 40% in tea production in Assam and around 23% in neighboring West Bengal up to March 2024 compared to the same period last year.

The tea bushes in the region have suffered significant wilting because of insufficient rainfall and soaring temperatures, which can lead to further crop loss in months to come.

Meanwhile, according to Indian Meteorological department, there has been substantial rainfall deficit ranging from 2% to 76% across major tea-growing districts in Assam and West Bengal from March 1st to May 13th compared to normal levels for this time of year.

With this decline, and the crucial first-flush and second-flush tea seasons already being affected, there is an immense strain on the financial stability of tea companies as well as struggling Small Tea Growers (STG).

On the other hand, despite the drop in production, there has been no corresponding price rise, which poses financial challenges to tea producers.

Meanwhile, the Tea Association of India has welcomed FSSAI’s efforts to regulate banned chemicals in tea, despite potential production losses. The industry is optimistic that collaborative measures will sustain India’s iconic tea sector.