Major Tea Producers in India
Godrej Tea Limited
Hindustan Unilever Limited
Tata Tea Limited
Badireddy Global Private Limited
Guru Sharnam Overseas
Hanumatey Exports Private Limited
Jay Shree Tea & Industries Ltd
Krishna Agrotech Ltd
World ranking: Tea, by Production (tones) 2012
EXPORT VALUE 1000
WORLD TOP 3: HIGHEST TEA EXPORTS IN THE
EXPORT VALUE 1000
Why Go GLOBAL?
Lower costs and
higher prices opportunities for
advantages in new
70% of Russians'
around 40% in the
To increase sales,
location for global
to offer a globally
Tata Tea’s entry in
to the U.S., China,
and other global
Gokal’s entry in to
Real GDP Growth ↑ 8.1% to $1.3 trillion
The fastest growing economy in the G8 group of
Investors pouring money into improved storage
facilities, infrastructure, and logistics
Improving financial services, rule of law, and banking
Opportunities for Indian Tea Companies in
the Russian Tea Market
•Largest importer of tea in the world
•Russia is among the global leaders in terms of tea
consumption (ranking fifth after India, China, Turkey, and the
•Tea consumed by more than 90% of consumers on a daily
•Russia grows less than 1% of the tea it consumes.
•Tea production in Russia has shrunk by almost 30% since the
The largest importer in value terms in 2011 was the company
“Ahmad Tea Inc.”, which had 6.6% of the total volume of tea
imports in Russia. The second place was taken by “Girnar
Food & Beverages Pvt. Ltd” with a share of 5.3%. “Akbar
Brothers Ltd.” were on the third place with 4.2%.
Demand: Russian people are well-known for drinking two
things: vodka and tea.
Tea is an extremely significant part of Russian culture.
Tea in Russia is not just a beverage – it’s a social activity with
•According to Tea Board chairman Mr Bhanu, the
share of small tea growers in the national production
has been rising.
•The overall Indian tea production in 2013 is
expected to touch 1,190 million kg, a jump of around
65-70 million kg over 2012
• Darjeeling, Assam, Nilgiri are household words in
The Politico-Legal environment
The political and legal environments of the Russian
govt is very friendly with the indian companies and
worldwide exporters of agro based products.
The Socio-Cultural Environment
Consumer attitudes and behaviour.
Consumer buying behaviour.
1.Bank Borrowings : Pre-shipment options:Overdrafts, Term Loan and
Govt allows subsidy if we use our money in the business.
The HR Dimension Employing tea experts to check the quality and management trainees
to excel in the competition.
Slowdown in growth
Budget and current balances are very dependent on oil prices
Weak private banking sector
Time , quality , good margin and supply to suppliers.
High qualty and nominal price because it is healthy then coffee.
On the production front, according to Tea Board statistics, in india
output rose 9 per cent in April-December of the current financial year
to 1,116.98 million kg on account of higher output in Assam.
Russia is a potential market.
Russia pays close to $5 a kg for such tea, while the average cost of the
CTC and orthodox tea imported from India could be $3-3.5 a kg.
Russians are becoming increasingly health-conscious everyday and
tea is being considered and accepted as a health drink.
It is expected that with Russia’s recent accession to WTO, the customs
duty will be reduced from 20 percent to 12.5 percent by 2017, which
will be an additional advantage for Indian tea exports to Russia.
The Tea Board of India has decided to simplify its export licensing
Export licences are given under Tea Distribution and Export
Control Order, and a tea-exporter has to hold a valid licence from
the Tea Board. Licences come in two categories — temporary and
It is expected that with Russia’s recent accession to WTO, the
customs duty will be reduced from 20 percent to 12.5 percent by
2017, which will be an additional advantage for Indian tea exports
•Gain competitive intelligence about market leaders
•Track key industry trends, opportunities and threats
•Inform your marketing, brand, strategy and market development,
sales and supply functions
•Business relation between Russia and India are better.
•India tea industry have a great opportunities to enter in russian market.
•Benefited of world largest importer country.
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