Money
Demand for green tea outstrips production
Demand for tea produced in the region has risen sharply due to its superior quality, outstripping production by a large margin.Ananda Gautam
Demand for tea produced in the region has risen sharply due to its superior quality, outstripping production by a large margin.
A trader based in Denmark has recently placed an order for 30,000 tonnes of tea with Pathivara Tea Producers Cooperative. The output of the farm, which is operated by a cooperative, totals just 700 kg per season.
Situated in Hangdewa, Bungkulung, the farm is spread over 200 ropanis of land. It was established in 1997, but it began commercial production only two years ago. Tea is grown on only 68 ropanis out of the farm’s total area. The tea farm remained idle for a long time during the Maoist conflict. Technicians and workers were hired around five years ago following the end of the fighting and the beginning of the peace process in the country.
The farm produced 500 kg of tea last year. Samples of its production were dispatched to Denmark and the UK for tests.
Bidur Bhattarai, one of the managers of the farm, told the Post that the trader from Denmark had offered to buy a large quantity of tea and also pledged to support them to boost output.
The Danish trader said that it would be difficult to ship a small quantity of tea by air, so they had placed a large order. According to Bhattarai, it will take four years for the company to produce 7,000 tonnes of tea even if they start work right away. The farm currently produces only green tea. Its major customers are traders in Kathmandu and soldiers of the British Army, said another manager Mohan Rai. There is great demand for its tea from local hotels too. The farm has priced green tea at Rs2,500 per kg.
Demand for tea, one of the export items of Nepal, has been increasing at the rate of 10-15 percent every year, according to the National Tea and Coffee Development Board. One of the major reasons behind the surge in demand for tea grown in Nepal is better quality, the government said.