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25
October 2018
Tea in China (The Total Investment & Insurance Solutions)
India made a strong pitch to expand its
steadily growing market for black tea in China by organising a tea promotion
campaign that officials say would help in scaling up the tea trade between the
two countries. People in China, where tea originated, mainly consumes green
teas without milk unlike black Indian tea. The Indian Embassy here in
association with the Tea Board of India and China Tea Marketing Association
held the Indian tea promotion event here from October 23-25. During the event,
top tea buyers and sellers from both the countries met and interacted over the
prospects of scaling up tea trade between the two countries. Anil Kumar Ray,
Deputy Chairman of the Tea Board of India, the leading Indian tea delegation,
told the media on Tuesday that India last year exported about nine million
tonnes of tea which constituted about 30 per cent of China's imports. The
Indian delegation comprising of top tea business houses visited China to
explore the Chinese market and to expand the export base, he said.
Addressing a seminar attended by tea
exporters and importers from both the countries here on Tuesday, Indian
Ambassador to China, Gautam Bambawale said the tea trade between India and
China goes back in history. The ancient Tea-Horse trade route connected Yunnan
Province in China to the tea-growing regions of India in West Bengal and Assam,
he said. Today, China is major producer of green tea with annual production of
2,550 million kilograms. India is a major producer of black tea with annual
production of 1,278 million kilograms, he said. India is the third largest tea
exporter to China, he said. Last year, India exported tea worth USD 25 million
to China. The graph is headed upwards as Chinese people begin liking different
kinds of tea, he said. With awareness about the medicinal value of the tea, the
popularity is growing among the youth of both the countries. There are many
reports which suggest that China's young people like black tea and black tea-based
beverages, he said. "Similarly, in India, people are now beginning to like
green tea and herbal tea. It is for this reason that we believe that the
possibility of exporting Indian tea to China is rising. That is why we are
organising this tea promotion event today," he said. The Indian delegation
has introduced five different type of teas from India at the event. Ray said
India has different varieties of teas, including the Darjeeling and Sikkim tea
"China is a very traditional tea
drinking nation... they have a very long history of drinking tea expanding to
thousands of years," he said, adding that "our teas are new but our
varieties are more". Similarly, exports of Chinese green tea varieties to
India were also growing. He said India last year has exported 251 million
kilograms of tea. This included Russia (50 million kilograms). Other countries
of Indian exports included Iran, the UAE, the UK, Pakistan, the USA and Egypt.
China makes about 2500 million kilograms of tea, he said. The Chinese tea business
representative reacted positively to India's pitch for tea exports to China.
Qin Ling, a representative from the Beijing Tea Chamber, told state-run Global
Times on Thursday that "Indian tea producers and exporters are using the
European Union product standards. Some Chinese companies' products don't meet
those standards." Wang Qing, chairman of the China Tea Marketing
Association, said that India and China have different categories of tea, and
standards don't pose a major problem for Chinese tea exports. "The issue
is not the standard, China and India have different product structures. China
mainly produces strip tea and India mainly produces broken black tea,"
Wang said. Bern Tsang, the business development consultant of Premier's Tea
Limited, whose office is based in Hong Kong, said that he is very optimistic
about the Chinese market. "Chinese young people are delighted to try new
things. As you see, coffee has made it big in China, and mixology tea beverages
are emerging too," he said. "Indian black tea is the main material to
make mixology tea beverages," he told the paper. Zhao Gancheng, director
of the South Asia Studies Department at the Shanghai Institute for
International Studies, said that India is currently showing the trend of trying
to crack the Chinese market. "India sees the US-China trade war as an
opportunity of expanding the Chinese market, increasing the exporting of
agricultural products to China. India is hoping to reduce its trade deficit
with China, which has long been large," Zhao said. If India takes this
opportunity to establish interconnection and further expand trade with China,
it is definitely a win-win situation for both sides, Zhao added.The Total Investment & Insurance
Solutions
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