Poland, lucrative market for Lankan tea

Ramani Kangaraarachchi

Poland is a lucrative market for Sri Lankan tea and many options are available for our tea companies, Acting Director promotion Sri Lanka Tea Board, Ranjith Abeykoon said at a seminar on "Business opportunities in the emerging economies in the EU" organised by the Sri Lanka Poland Business Council and Ceylon Chamber of Commerce at the Trans Asia in Colombo.

Abeykoon said there are numerous opportunities in Polish tea market. He said the demand for natural food products and the buying power of the polish consumer is growing rapidly after joining the EU which are plus points.

He also said Ceylon Tea has lot of strengths such as wide products range, high quality and taste, well developed packing system and popularity among many consumers.

Awareness on market access requirements and EU regulations, avoid price competition concentrating on quality segment, increase brand marketing in Poland where more potential exists for pre packed tea bags, explore packing of own label or supermarket brands, introduce more green, organic and tea based products, operate Ceylon tea houses, and ware houses to get a share in re export trade ,use health benefits of tea as a strong marketing strategy are among the other available options.

However he pointed out that high price of Ceylon tea compared to competitors, less commitment for brand marketing, lack of resource for investment and slow product diversification are the disadvantages.

Poland has the largest economy in new Europe. It is the third largest importer of tea in Europe and second largest tea consumer in Europe.

Sri Lanka has exported 2,483 MT of tea to Poland in 2006. Sri Lanka Tea Board set up its tea promotion office in Poland in March 2004.

The seminar covered three potential emerging economies in the EU, Poland,Romania and Hungary.

The Chief Guest Head of Delegation of the European Commission to Sri Lanka and Maldives Julian Wilson delivered the keynote address on EU GSP Plus Scheme.

Presentations were also conducted by Director Marketing EDB Ranjani Tudugala Director Department of Commerce Sonali Wijeratne.