Tea production in India declines by 9% in June, reaching 133.50 million kilograms due to unfavorable climate conditions.
India's Tea Production Dips by 9% in June 2025
India's tea production took a hit in June 2025, declining by 9% to 133.5 million kilograms. This drop was seen across the country, with both North and South Indian tea-growing regions experiencing a decrease in output.
In North India, the production fell to 112.51 million kg from 121.52 million kg in June 2024. The decline was particularly noticeable in Assam and West Bengal, where production dropped to 64.23 million kg and 47.29 million kg respectively. The Cachar region of Assam saw a positive growth of 12%, reaching 4.32 million kg.
On the other hand, South India's tea production dropped to 20.99 million kg from 25.20 million kg in the same period. Key producing regions like Karnataka, Tamil Nadu, and Kerala all experienced a decline. Karnataka's production dropped to 0.37 million kg, Tamil Nadu's to 16.01 million kg, and Kerala's to 4.61 million kg.
The decline in production can be attributed to erratic and extreme weather conditions, such as heat and rain deficits, and widespread pest infestations. These factors affected plantations across the country, causing damage to tea bushes and reducing the quantity of tea produced.
The three main tea varieties in India - CTC tea, orthodox tea, and green tea - were all affected by the decline. CTC tea led with 117.84 million kg, followed by orthodox tea at 13.82 million kg, and green tea at 1.84 million kg.
The decline in tea production raises concerns about future supply, pricing, and export commitments, especially if adverse weather conditions persist. The Food and Agriculture Organization (FAO) has warned that without climate adaptation, the yield loss in Northeast India could reach up to 40% by 2050. This underscores the longer-term climate risks for India’s tea sector.
In conclusion, the June 2025 decline in tea production was a result of climatic disruptions and pest issues impacting both the quantity and geographical distribution of tea production in India.
- The decline in tea production in June 2025 may negatively affect India's economy, causing concerns about exports and trade in the tea industry.
- The drop in tea production in North India, particularly in Assam and West Bengal, could disrupt the local agriculture sector and the businesses relying on it.
- The FAO's warning about potential yield loss in Northeast India by 2050 emphasizes the need for immediate attention and finance to adapt to climate change in the tea industry.
- It is crucial for businesses in the tea industry, especially those involved in exports, to subscribe to reliable weather and market predictions to mitigate risks.
- The decline in tea production highlights the vulnerability of agricultural markets to climatic disruptions, underscoring the importance of sustainable practices in the industry.
- The finance sector should consider allocating resources to assist farmers and tea businesses in adapting to climate change and overcoming the challenges associated with pest infestations.
