Kolkata, Dec 25: With the world tea crop reaching a demand-supply equilibrium and prices showing signs of improvement towards the end of the current year, Indian tea industry is optimistic that the four year old recessionary trend will gradually come to an end. "2003 was the worst year in the history of the Indian tea industry as prices remained under pressure even though cost of production continued to rise. However, of late, in the last two months there has been some improvement in price realisation," C K Dhanuka, Chairman of Indian Tea Association (ITA), apex body of tea manufacturers in the country, said.
He said the "worst is over so far as Indian tea industry is concerned. There appears to be an equilibrium in demand-supply position and that is the reason why prices are going up."
"If the current trend continues, of which I am confident, the industry will perform good and is going to grow during the next two-three years," he said.
Echoing the sentiment, tea expert R S Jhawar of Eveready Industries Limited said, "it (2003) has been the most difficult year for the industry, but by the end of the year it appears the industry has reached a bottom and from here there can only be some improvement."
Tea Board Chairman N K Das had recently, while addressing members of Darjeeling Planters Association, said despite not so encouraging figures on export front, the trend in the tea industry had shown some signs of improvement.
Bureau Report