Global Tea

The global tea industry is largely dominated by India - the largest producer and consumer of tea. India is followed by China, Sri Lanka, Kenya and Indonesia in the production hierarchy of countries.

The tea industry is peculiar: the soil characteristics, the climate and the rainfall determine the character of the tea and its taste. Tea affects the taste buds; therefore, it is difficult to replace a particular variety with a substitute. This explains why certain types are favored by certain countries : for example, the CIS countries favour Indian and Sri Lankan teas. UK and Pakistan favour Kenyan teas. 

India accounts for 30 per cent of world's production. While Sri Lanka, Kenya and Indonesia are the other leading producers; their combined production is lower than that of India. What makes India an interesting object of study is that its size is no millstone around its neck; its production growth between 1996 and 1998 at 5.63 per cent was way ahead of the increase in world production of one per cent only.