Siliguri, Sept. 13: The first consignment of Indian CTC tea has reached the Chinese shores in what could be a significant turning point for the country?s tea industry.
The Chinese government has decided to import 50,000 kg per month of CTC black tea dust from India, and the first shipment of 11,000 kg reached Beijing last week.
As part of a contract reached with the China Tushu Guangxi Tea Import and Export Corporation, a subsidiary of the government-run China Tea Company, Lochan Tea Limited, a Siliguri-based company, sent a container to China. This is expected to pave the way for more Indian black tea to the birthplace of tea or cha, as the brew is called in Chinese.
?After a year of negotiations with the Chinese government and its agencies, the deal was finally struck and the Chinese corporation agreed to import 50,000 kg of CTC dust every month from us,? said Rajiv Lochan, chief executive officer of Lochan Tea Ltd.
?This is the first major export of CTC dust variety tea to China. So far, there have been a few scattered exporters mainly selling orthodox black tea to that country,? he added.
Though China mainly grows green tea, the black variety it produces is of an inferior quality, which is the reason why it has to rely on imports, mainly from Sri Lanka and Kenya, to meet its requirements.
The rise in demand for quality black tea in China reflects the changing taste for the brew in that country. ?Originally green tea drinkers, the Chinese fancy for black tea is a recent phenomenon,? said Justin Wu, leader of the Chinese delegation that had visited Siliguri in April. ?The cup of chai, which can be bought at Bengal?s roadsides for Rs 2, sells at $ 5 each in Chinese tea-houses,? he had said during his visit.
India exported just 62,813 kg of orthodox tea to China in 2004, which was just 2.67 per cent while Sri Lanka shipped 5,73,244 kg, which was 24.33 per cent of the market share. Kenya enjoyed the maximum share of 31.2 per cent by exporting 7,35,285 kg, according to official statistics. Tea from both Kenya and Sri Lanka score over India because of their prices, which are almost half or even less.
?Since we knew we cannot compete with other nations in pricing, we banked on quality,? said Lochan.
K.K. Mintri, executive member of the Tea Association of India and advisory member of the Terai Indian Planters? Association said: ?The crisis in the tea industry is getting worse. It is doubtful if we will be able to export even 150 million kg this fiscal, compared to last year?s 170 million kg. At such a time, any news of export is welcome.?