India is the second-largest producer of tea globally with the total value of tea exports from India reaching US$ 924 million in FY25.
Source: Directorate General of Commercial Intelligence and Statistics (DGCIS)
Last updated: Dec, 2025
Introduction
India is the second-largest producer of tea globally. Indian tea is one of the finest in the world owing to strong geographical indications, heavy investment in tea processing units, continuous innovation, augmented product mix, and strategic market expansion. As of 2022, a total of 6.19 lakh hectares of area was cultivated in India for tea production. India is also among the world's top tea-consuming countries, with 80% of the tea produced in the country consumed by the domestic population. In FY25 (April-January 2025), India’s tea production stood at 1,203 million kgs.
Assam Valley and Cachar are the two tea-producing regions in Assam. In West Bengal, Dooars, Terai and Darjeeling are the three major tea producer regions. The southern part of India produces about 17% of the country's total production with the major producing states being Tamil Nadu, Kerala, and Karnataka.
Export Trend
India is among the top 5 tea exporters in the world making about 10% of the total exports. In FY26 (April-July 2025), the total value of tea exports from India stood at US$ 314 million. Indian Assam, Darjeeling, and Nilgiri tea are considered one of the finest in the world. Majority of the tea exported out of India is black tea which makes up about 96% of the total exports.
The types of tea exported through India are black tea, regular tea, green tea, herbal tea, masala tea and lemon tea. Out of these, black tea, regular tea, and green tea make up approximately 80%, 16% and 3.5% of the total tea exported from India.
India's total tea exports during FY25 were US$ 924 million as compared to US$ 826 million in FY24.
Export by Country
India exports tea to more than 25 countries throughout the world. Russia, Iran, UAE, USA, Iraq, Germany, and China are some of the major importers of tea from India. During FY26 (April-July 2025) UAE, USA, Iraq, Iran and Russia imported US$ 151 million combined.
In FY26 (April-July 2025), UAE has the highest share in tea imports from India (18.5%), followed by Iraq (13.4%), USA (9.2%) and Russia at (7%).
Government Initiatives
Under the finalized India-UK Free Trade Agreement (CETA) signed in July 2025, tea was retained as a sensitive item and excluded from tariff reduction on the Indian side. India has kept its existing 110% import duty on tea intact, so no duty relief applies to UK tea imports into India under the new pact.
To help the Indian exporters to market tea of Indian origin in overseas markets on a sustained basis, the Tea Board of India started a scheme: Promotion for packaged tea of Indian origin. The scheme assists in promotional campaigns - up to 25% of the cost reimbursement, display in international departmental stores, product literature and website development, and inspection charges reimbursement of up to 25% of the charges. The Tea Board also provides subsidies to domestic exporters to participate in international fairs and exhibitions. The aim is to provide a platform for exporters to showcase their products at international events for promotion.
Tea Development and Promotion Scheme
This scheme was launched in November 2021 by the Tea Board of India for the period of 2021-26. The objective of this scheme is to enhance the productivity and quality of tea production in India. There are seven important components to this scheme,
Plantation development of small tea farmers
Creation of sector-specific action plan for North-East India
Supporting the tea producers and traders in market promotion activities
Worker's welfare
Research and development activities
Regulatory reforms
Establishment expenses
Governing Body - Tea Board of India
The Tea Board of India was set up in 1953 for the development of the tea industry in India. It started functioning in 1954. The board is located in Kolkata and has 17 offices across India. Being the regulatory body, the board exerts control over the producers, manufacturers, exporters, tea brokers, auction organizers and warehouse keepers through various control orders notified under the Tea Act. The responsibilities of the board are increasing production and productivity, improving the quality of tea, market promotion, and welfare measures for plantation workers, and supporting research and development.
Besides the development and regulatory framework, the Tea Board of India also undertakes direct promotional activities, including organizing joint participation in international fairs and exhibitions, arranging buyer and seller meets, and sending & hosting trade delegations. It also conducts market surveys, analyses, identifies, tracks consumer behaviour, and provides relevant and accurate information to importers and exporters.