Farmers and exporters, who were disappointed by the decrease in tea exports since mid-July last year, are now excited due to the continuous rise in exports in the first two months of the current fiscal year. Farmers and exporters are particularly enthusiastic as tea exports have increased by 52 percent in the review period compared to the same period last year.

Aditya Parajuli, president of the Nepal Tea Planters Association (NTPA), explained that the demand for Nepali tea has surged due to a reduction in tea production in Darjeeling and Assam, India, caused by drought, leading to an increase in exports.

According to Rajendra Prasad Chudal, head of the Mechi Customs Office, 4,412 metric tons of tea worth Rs 1.133 billion were exported from Kakarvitta in the first two months of the current fiscal year. This amount represents a 52 percent increase compared to the same period last year, corresponding to 2,902 tons of tea exports.

Parajuli highlighted that tea production in India has decreased by over 100 million kilograms this year, which boosted the demand for Nepali tea in the Indian market. However, there is a challenge in meeting the Indian demand, as tea production in Nepal has also decreased due to drought.

Last year, Nepal produced 22 million kilograms of tea. This year, production dropped by 5 million kilograms, for a total of 17 million kilograms due to drought. However, despite the decrease in production, the rise in prices and increased demand in the Indian market hace provided some relief to the farmers.

Last year, the price of Nepali tea ranged between Rs 90 and Rs 100 per kilogram. This year, it increased to Rs 180 per kilogram, improving farmers' income despite lower production. Parbat Dangi, a farmer from Haldibari, expressed his excitement, noting that tea fetched a good price this year. 

Reflecting on last year, when he had to store CTC tea in the godown, he said, "This year, the tea is selling well because the demand is higher. Last year, Indian traders were offering Rs 60-Rs 70 per kilogram. Now, we're happy because the price has gone up this time."

Ninety-nine percent of tea produced in Nepal is exported mainly to India, the U.S., Japan, and China.

According to the National Tea and Coffee Development Board, tea plantation is done on 27,500 hectares of land in Nepal. The country operates 68 large tea factories, 930 orthodox tea factories, 38 CTCs, and over 150 small orthodox processing industries.

Tea traders believe that improving the quality of Nepali tea can turn tea cultivation into a source of sustainable and high income. By enhancing quality, Nepali tea has the potential to be exported not only to the Indian market but also to other countries at higher prices.

Koshi Province is the main agricultural production area in Nepal, contributing significantly to exports. The province accounts for 90 percent of Nepal's cardamom exports, 99 percent of its tea exports, and 33 percent of its ginger exports.

Former President of NTPA and tea industrialist Suresh Mittal noted that the positive trend in tea production and export will significantly contribute to the development and economic growth of Nepal's agricultural sector. However, he warned that increasing drought and seasonal uncertainty due to climate change could pose challenges to tea production. Therefore, the government and related agencies should address these issues.

Mittal also stressed that by investing more in the quality and branding of Nepali tea and strengthening its position in the global market, the tea sector can contribute more to Nepal’s economy. "For this, coordination and cooperation between the government, the private sector, and farmers is necessary,” he added.