1. “Tea Industry in Assam:
A General Overview”
Swapnali Saikia
Jorhat, India
2. INTRODUCTION:
The state of Assam is the world's largest tea-
growing region, lying on either side of the
Brahmaputra River, and bordering Bangladesh and
Myanmar. This part of India experiences high
precipitation; during the monsoon period, as much
as 10 to 12 inches (250–300 mm) of rain per day.
The daytime temperature rises to about 103F (40
°C), creating greenhouse-like conditions of extreme
humidity and heat. This tropical climate contributes
to Assam's unique malty taste, a feature for which
this tea is well known.
3. The Tea industry in Assam is about 170 years
old. It occupies an important place and plays a very
special role in the State economy in particular and
in the national economy in general. The wild tea
plants were discovered in upper Brahmaputra
valley by Robert Bruce in 1823 and the first Indian
tea was sent to United Kingdom for public sale in
the year 1838. Thereafter tea cultivation was
extended to other parts of the country between 50‟s
and 60‟s of the last century. As of today, Assam Tea
has maintained its international reputation and
commands significant share in the world Tea
Market.
4. Tea of the agriculture-based industries, tea
occupies an important place in Assam. In Assam, tea
is grown both in the Brahmaputra and Barak plains.
Tinsukia, Dibrugarh, Sibsagar, Jorhat, Golaghat, Na
gaon and Sonitpur are the districts where tea
gardens are mostly found. Assam produces 51% of
the tea produced in India and about 1/6th of the tea
produced in the world. The tea industry in Assam
also provides average daily employment to more
than six lakh persons in the State which is around 50
percent of the total average daily number of labour
employed in the country.
5. Study Area: Assam, India
Extension: 24˚3ˊN-
27˚58ˊN 89˚5ˊE96˚1ˊE
& -
Area: 78,438 sq. km
Population: 31169272
(2011 census)
6. OBJECTIVES:
•To show the present condition of tea
industry in Assam
•To identify the problems & prospects of
tea industry of Assam
7. METHODOLOGY:
The present study is both qualitative &
quantitative in nature. Information regarding the
topic in collected from various sources like
books, newspapers, magazines, official websites
etc. The collected data and information have
been analyzed with the help of appropriate
geographic methods & techniques.
8. ANALYSIS:
Tea manufacturing is one of the premier
industry of Assam. It plays a vital role in the
economy of the state. About 17 percent of the
workers of Assam are engaged in the tea industry.
The total area under tea cultivation in Assam is
accounting for more than half of the country‟s total
area under tea. In addition to existing big & large
tea gardens owned by reputed both Indian and
multinational Companies, the profession of tea
plantation in the State has taken up by common man
as business venture at present, especially by
unemployed youths.
9. According to the Tea Board of India, “there are
more than 43000 small tea growers in Assam
producing about nine percent of the State‟s total
annual production.” [State focus paper, Assam-2009-
l0 by NABARD]. As per Tea Board of India
information there are 52000 small tea growers in
Assam at the end of March 2009 out of which 3767
were registered with the Tea Board of India. The
small tea growers cover around 65000 hectares of
land and they produce more than 100 million tonne
of tea leaf annually [According to the All Assam
Small Tea Growers Association, there are 65466
10. small tea growers in Assam as on March 2008
and covers 103298 hectares of land. These small
tea growers produced 14185 lakh kgs. green tea
during the year 2007-08]. Most of the small tea
gardens in the State are confined to upper
Assam. Dibrugarh accounts for 30 percent of the
total tea gardens followed by Tinsukia 22
percent, Jorhat 13 percent, Golaghat 12 percent,
Sivasagar 11 percent and other districts contain
11 percent.
11. Assam alone produces more than half
of India‟s tea production. The estimated
production of tea in Assam was 511.9
thousand tonnes in 2007 which constitutes
more than 50 per cent of the total tea
production of the country. During the year
2006, the quantity of production of tea in
Assam was 502.0 thousand tonnes.
12. Tea Statistics of Assam and India:
Source: Economic Survey Assam 2009-10
Area under
Total Tea
No. of Tea Tea Average yield
Production
Gardens (in '000 (kg / hectare)
Year (in 000 kg.)
hectare)
Assam India Assam India Assam India Assam India
2001 40795 116659 269 510 453587 853923 1685 1675
2002 43272 127801 271 516 433327 838474 1601 1625
2003 43293 129027 272 520 434759 878129 1601 1690
2004 43293 129027 272 521 435649 892965 1603 1713
2005 49102 140712 301 556 487487 945974 1622 1703
2006 NA NA 312 567 502041 981805 1610 1732
2007 NA NA 321 578 511885 986427 1593 1705
15. Month-wise Production of Tea in Assam, (2007-2008 and 2008-2009):
(Tonne)
Source : Directorate of Economics and Statistics, Govt. of Assam.
Month 2007-2008 2008-2009
April 33929 37711
May 49278 30852
June 50530 55666
July 61908 71969
August 52167 77555
September 85999 56991
October 67544 74139
November 53843 38643
December 19073 17976
January 4961 5919
February 1714 112
March 4738 16448
Total 485684 483981
17. Quantity and Average price of Tea Sold in the Guwahati Tea Centre:
Source: Economic Survey Assam 2009-10
Leaf Dust
CTC Orthodox CTC Orthodox
Year Averag
Quantit Averag Quantit Average Quantit Quantit Averag
e Price
y e Price y Price y y e Price
(Rs.
(million (Rs. per (million (Rs. per (million (million (Rs. per
per
Kg.) kg.) Kg.) kg.) Kg.) Kg.) kg.)
kg.)
2005 101.94 61.11 0.61 61.62 40.30 59.19 - -
2006 100.75 67.96 0.72 78.18 40.9 68.27 - -
2007 106.88 70.09 4.16 73.93 41.51 73.02 0.001 50.00
2008 110.14 90.20 0.56 92.39 41.99 95.73 - -
2009
(upto 40.88 102.61 0.24 94.94 14.09 106.79 - -
July)
18. Fig. 1:No. of total Tea Gardens in Assam
60000
50000
40000
30000
20000
10000
0
2001 2002 2003 2004 2005
19. Fig.2: Area under Tea (in '000 hectare)
350
300
250
200
150
100
50
0
2001 2002 2003 2004 2005 2006 2007
20. Fig. 3: Total tea production in Assam
520000
500000
480000
460000
Total Tea Production (in
440000 000 kg.)
420000
400000
380000
2001 2002 2003 2004 2005 2006 2007
21. In its 166 years of old history, the tea industry
of Assam, for the first time, is going through one of
its worst phases. There have been decline in
export, stagnant of domestic production and
marketing in the Indian tea industry. According to an
expert committee report of the State Government in
October,2003 the important problems of the tea
industry of Assam are:
•Fall in tea prices
•Rise in production cost
•Labour productivity going down
•Increase in fuel cost
22. •Inadequate power supply
•Old machineries
•Decline exports
•Fall in production of quality tea
•Declining domestic consumption
The committee submitted its report on August
5, 2004 and recommended following measures for
improvement of the position of the State‟s tea
industry in the world market:
•All tea for sale should go through tea auction
center
•There should be amendment of tea marketing
control order
23. •To open tea auction center at Jorhat &
Dibrugarh
•Incentives to tea producers coming for tea
auction
•Orthodox tea production should be subsided
•Subsidy to replantation should be increased
•Promote organic tea cultivation
24. CONCLUSION:
Assam tea grown at sea level, is known for its
body, briskness, malty flavour and strong bright
color. Though Assam tea generally indicates the
distinctive black teas from Assam, the region also
produces relatively smaller quantities of green and
white tea as well with their own distinctive
characteristics. Assam is the world‟s single largest
tea growing region. At present Assam produces
about 55% of the country‟s total tea production.
25. The economic realization of the importance of tea
in Assam is a forgone conclusion. Along with the
organized sector the proliferation of small tea
cultivation in Assam has created vast employment
opportunities in the rural areas giving economic
impetus as well as employment generation.
The Government of India has created a
Special Purpose Tea Fund (SPTF) which is meant
for rejuvenation of tea bushes. This will benefit
about 700-800 tea gardens of the state. In an
important policy decision – the Government has
decided to secure a geographical indication for the
tea produced in the state.
26. „Assam Tea‟ will be known as „Assam
Orthodox Tea‟ once the geographical indication
is secured, thus making it an exclusive
commodity and raising its stakes in the global
market. Very recently in this year the State
Government decided to launch a “A CHAI
BAR” in Guwahati to popular „Assam Tea‟
among the domestic and foreign tourists.