Tea output drops by 1.5m kg in 2014

After hitting an all time high production in 2013 calendar year, the country’s tea production declined nearly by 1.5 million kilogramme (kg) last year (2014), officials said.
Sector insiders predicted that tea import may surge following the lower output coupled with a significant rise in domestic consumption.
The country harvested an all time high of 66.26 million kg of tea in 2013, attaining a 6.0 per cent growth over that of 2012, according to the Bangladesh Tea Board (BTB).
BTB director Md Mohibul Haque told the FE that the primary calculation showed tea production as 63.86 million kg in 2014, but auction of some quantity of tea is yet to be completed.
“After auction of that tea, the final output might be above 64.5 million kg, which is nearly 1.5 million kg lower than that of the previous year.”
He said 2013 was an extraordinarily bumper year, as the weather was perfect, helping a record tea production.
Bangladesh Tea Research Institute (BTRI) director Dr Mainuddin Ahmed told the FE that tea gardens got proper rainwater across 2013, even in December.
In 2014 the temperature was good, but not at the level of the previous year. However, the output in 2014 was also the second highest ever.
He said the current calendar year is not blessed with adequate rain  as yet. If the condition prolongs, it could affect the production this year. Maintaining the tea production at 63-64 million kg is satisfactory for now.
Meanwhile, market insiders said fall in local tea production may cause hike in its import.
An official at BTB told the FE that annual tea production increased by 8 million kg in a decade (2003-2013), whereas domestic consumption increased by 26.5 million kg by the time.
He said Bangladeshi people consumed over 64 million kg of tea in 2013, which was 37.4 million kg in 2003.
Higher production helped to trim down tea import to just 6.0 million kg in 2014, which was nearly 10 million kg in the previous years. But decline in local production may cause rise in tea import in 2015.
Commerce Minister Tofail Ahmed at a recent programme on tea industry underlined the need for raising tea production to cut import.
The minister said many areas of the country are suitable for high quality tea production.
“There are huge potentials for tea production in those lands, and we have to utilise the opportunity.”
Mr Tofail said annual tea consumption in the country has been rising by 3.23 per cent year-on-year basis, while the production is increasing by 2.0 per cent.
He said the government has been providing necessary support to tea producers to raise output of the item.
Steps have been taken to further develop the industry, and a strategic work-plan - Vision-2025 - is being implemented in this regard.
The country will be able to export a large quantity of high quality tea after implementation of the work-plan, he said.
However, the country exports only 0.54 million kg of tea worth Tk 133 million in 2013, which was 12.1 million kg worth Tk 915 million in 2003.
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