India’s tea exports hit decade-high of 255 mn kg

 In 2024, Indian tea exports soared to a decade high of 255 million kg, fueled by strong demand from the UAE, Iraq, and Russia—an increase of 10% compared to 2023. The average global price of Indian tea also climbed by 10% per kg offering a positive outlook for the Indian tea industry.

India’s tea exports reached a decade high of 255 million kg in 2024, a 10% rise from 231.69 million kg in 2023, driven by strong demand from markets like the UAE, Iraq, and Russia, according to the Tea Board of India. Alongside increased volumes, the average global price of Indian tea rose by 10% per kg, providing relief to an industry facing high production costs. Indian tea is now exported to 26 countries.

Mr. Mohit Agarwal, director of Asian Tea stated, “There were two major highlights for the tea Industry in season 2024 – a 10% rise in the exports of Indian teas to reach a near-decade high of 255 million kgs and a drop of 110 million kgs in the Indian tea production. Both combined had a very positive impact on the profitability of Indian tea producers as the prices of Assam and West Bengal teas rose 20 per cent for the leaf category and 26 per cent for the dust category of teas. This has given a breath of new life to the Indian tea producers and the ailing tea Industry.”  

Mr. Agarwal noted that Indian tea gained significant market share in the CIS countries, Middle East, and USA. He credited this growth to strict adherence to Maximum Residue Limit (MRL) standards and early closure of tea estates in Assam and West Bengal, which helped avoid oversupply and balanced the market. Exports in 2025 are expected to remain strong, especially for premium hand-rolled orthodox tea, though increased crop yields may slightly ease prices.

However, there is concern among domestic producers and exporters over a steep rise in tea imports from Kenya. Between January and October 2024, Indian imports of Kenyan tea surged by 288%, rising from 3.53 million kg in 2023 to 13.71 million kg, making India the largest importer of Kenyan tea, according to the Tea Board of Kenya.