Indian Tea Prices rose due to supply constraints
By The Colors Pvt LtdMay 23, 2025

Indian Tea Prices rose due to supply constraints

Adverse climatic conditions took its toll on India’s productions of important agri-commodities like tea. Tea witnessed buoyancy on the back of lower productions mainly due to unfavorable climatic conditions.


For the just-concluded year, overall tea production is likely to be lower by more than 100 million kgscompared to 2023’s output of 1,393.66 million kgs.


Due to increase in shipments to Iran and Iraq, the tea industry has also witnessed higher exports despite geopolitical tensions and export of the brew could be in therange of 245-260 million kgs in 2024 compared with 231.69 million kgs last year.


In the last year,India was able to capture a lot of overseas markets from Sri Lankan exporters, particularlythe Iraq market. And that was a real increase in 2024. 2025 also looks promising.