India is one of the world’s largest producers and consumers of tea, with about three-fourths of the country’s produce being consumed locally. The Indian population is among the heaviest tea-drinkers in the world. As the second largest producer of tea globally, India recorded a production of 1,339.70 million kgs in 2019. India stands fourth in the export of tea, with total exports standing at US$ 826.47 million in FY20.
A robust framework for the protection of Geographical Indications (GI), numerous processing units, continuous innovation and strategic market expansion make Indian tea the finest in the world. The country is home to a wide variety of teas, including CTC(Crush, tear and curl) tea, orthodox tea, green tea and organic tea. Unlike many other tea producing and exporting nations, India has a manufacturing base for both CTC and orthodox tea.
High-quality specialty teas, such as Darjeeling, Assam Orthodox and the high-range Nilgiris are few of India’s market offerings.
Brands like Tea-Pot, Chaayos and Chai-point that cater to millennials have led to a mushrooming of beverage parlours across the country. New startups have attracted huge investments from international venture capital firms from the United States, Hong Kong and Singapore that are actively seeking to expand into the lucrative Tea/Coffee-chain market.
The Indian Government has provided an outlay of US$ 160 million to promote the tea coffee and spice sector during the 11th five year plan.