Indian tea rose to a record level: weather and pandemic helped

Reported by Reuters. Rising prices could bolster the beleaguered Indian tea industry, which was struggling with rising production costs. It could also restrict New Delhi's exports and increase supplies from competitors such as Kenya and Sri Lanka. Floods have damaged tea plantations in the northeastern state of Assam. This region accounts for more than half of all tea production in India. Earlier, there has already been a reduction in production caused by quarantine restrictions. “The 10% yield loss is expected to be offset by a 12% price increase after eight years of price stagnation. However, prices may decline next year amid likely reports of increased production, ”said Prabhat Bezborua, chairman of the Tea Council in India. Production losses have already pushed weekly auction prices to a record Rs 232.60 ($ 3.11) per kilogram, up 57% from a year ago. According to Kalyan Sundaram, secretary of the Kolkata Traders Association, this is comparable to the average annual price ...