India has the largest tea Industry in the world but this industry has been plagued with several problems in the last few years. On one hand, the tea gardens are getting old with old tea plants and on the other hand, price of tea in the auctions is gradually decreasing with no sign of improvement. In 2004, 820 million kilograms of tea were produced in India and production of tea in 2005 was a record high of 928 million kilograms.
Now, the Indian government is becoming serious to rejuvenate the tea industry as it created thousands of jobs in North Eastern part of India and mainly in the state of Assam. Assam produces nearly 55% of total tea in India and many families depend on tea for their livelihood. Indian central government has allocated nearly $1.04 billion to assist the tea producers. This money will be mainly spent modernizing the production facilities and replacing old plants with new plants. Thus Indian tea will have uplift in terms of both quality and quantity and the price of tea will increase too in near future. India is now seriously trying to tap new markets like Pakistan and the Middle East for its tea.
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