Nepalese Tea Sector: Production, Export, And Key Issues

Tea, originating from northeast India and Southwest China, holds global appeal for its health benefits and cultural importance. Nepal’s tea industry has been around since 1863 and boasts diverse varieties of tea, like Assam, Chinese, and Cambodian types, that grow in specific climatic conditions. Findings showed that the trend of production and export has been decreasing for a few years with production falling nearly by 20% in 2022/23. CTC tea was found to dominate the market segment. Similarly, Nepal faced a nearly 43% increase from 2010 to 2018 and a 17% decrease from 2018 to 2023 with periodic fluctuations in exports and imports in recent years. Despite its good quality, Nepal faces challenges in production, labour shortages, and climate change impacts affecting yield and quality This study looks at Nepal’s position in the global market and analyses production trends and export-import dynamics. Challenges persist in meeting the global standards, and regulatory hurdles, branding, and promoting Nepali tea. Nepal must address the production constraints, tackle climate change, enhance quality control measures, and streamline policies in production and export to unlock its full potential. It is imperative to It is recommended that Nepal capitalize on its tea heritage and emerge as a prominent player in the global tea industry, contributing to economic growth and livelihood enhancement by fostering a conducive environment and strengthening institutional support, fostering public-private partnerships, and utilizing technological advancement to revitalize the tea sector.