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| Tuesday, 19 August 2003 |
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Sharp growth in Lanka's tea industry Tea has remained a favourite drink for centuries in the Far East. The 'cup that cheers' is now a global drink, with people from Afghanistan to Zimbabwe enjoying its taste and aroma every day. And if they look carefully at their tea pack, they are most likely to see a lion symbol and the words 'Ceylon Tea'. The tea industry in Sri Lanka has grown tremendously from James Taylor's pioneering efforts in the 1860s. Today, Sri Lanka is the world's number one exporter of tea. The Colombo Tea Auction which handles six million kilos of tea weekly, records some of the highest prices for tea anywhere in the world. The tea conventions currently under way in Colombo will no doubt help Sri Lanka to consolidate its position as the leading tea producer in the world. The United Nations Food and Agriculture Organisation's (FAO) 15th session of the Inter Governmental Group on Tea will take place in Colombo until August 20. The Colombo Tea Traders' Association and the Sri Lanka Tea Board are organising an International Tea Convention and Exhibition to coincide with this event. Tea buyers and experts from around the world will attend the two events. The theme 'DiversiTEA in SpecialiTEA' has been selected for the convention to focus on diversification and specialisation. This is an appropriate theme given the immense variety of Sri Lankan teas, each with its unique flavour and aroma. Sri Lanka has long depended on the export of black tea, without trying to exploit the huge demand for speciality teas among connoisseurs worldwide. In fact, many tea producers overseas blended other inferior teas with 'Ceylon Tea' and sold them under the same name, thus imparting a negative image for our teas. Now the trend is being reversed, with our tea companies keen on protecting their identity and product quality in a world saturated with cheap teas. Sri Lankan tea companies, increasingly dominant in the world tea market, have now introduced exotic flavours set to win hearts everywhere in both tea bag and loose forms. The emergence of 100% local companies in the world tea arena, long dominated by multinational brands, is also a good sign. This is especially important as the local tea industry has to stay ahead of competitors such as India, China and Kenya who are fast catching up and introducing their own varieties of speciality teas to consumers. It is thus heartening to note that local tea production has improved drastically in the recent past, recording 310 million kilos last year. One of the main factors for this transformation is the privatisation of tea estates, which infused a new style of management to the plantations, increasing efficiency and productivity. Several fertile tea lands ran at a loss when they were controlled by the Janatha Estates Development Board and the Sri Lanka State Plantations Corporation, but the management companies made a difference. Estate workers also received higher wages after protracted negotiations between the unions and the 23 plantation management companies. In fact, the role of the estate worker in developing the tea industry cannot be forgotten. They toil for hours in the plantations, collecting tea leaves for processing. The government has made arrangements to grant citizenship to stateless estate workers and provide better housing facilities. We tend to think of major plantation companies whenever 'tea' is mentioned, but smallholders are the biggest producers. The smallholders who mostly engage in Low Grown cultivations produce more than 60% of the tea output despite various difficulties. The government must grant them all facilities including financial incentives to improve their business prospects. Modernising tea factories is also essential. Sri Lanka should continue to look for more markets for its tea products, now that several Asian and African countries emerging from economic doldrums. Niche markets for products such as Ready-to-Drink tea must be explored. The two meetings on tea in Colombo are likely to consider all these issues and the outlook for the global tea market. They will help propel 'Ceylon Tea' far and wide, giving the brew the place that it so richly deserves. |
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