Nepal Seeks New Tea Markets After India Export Crisis

Green tea leaves harvested from a plantation in Nepal.

Following a two-month interruption in tea exports to India due to stricter testing regulations, a government task force report recommends improving product quality and exploring alternative markets. According to The Economic Times, exports resumed on June 30 after diplomatic efforts eased the rules. Under new regulations, only 20% of shipments to India require testing, down from previous stricter mandates. Deepak Khanal of the National Tea and Coffee Development Board stated that the focus is on enhancing quality and market diversification. While Nepal produces 26.5 million kilograms of tea annually and relies on India for 86% of its exports, the report identifies China, Pakistan, the US, and Europe as potential new markets. However, officials emphasize that the Indian market cannot be ignored due to its dominance.

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