Black Tea Export of India Declining For the UK

There has to be something new to make the trend stable

Black tea is one of the major agricultural items in India. It arrived in India and sustained its presence since now. With a growing population, the consumption of black tea has risen and so has the cultivation. As there is many Indian residing in UK black tea was exported heavy amounts to the UK from India.

But as time passed the situation changed. The trade is still there but the number has gown down significantly. This is partly due to the pandemic and the rest is up to the quality as well as the price. The Kenyan tea has proposed a much better of both the traits and there is a rise of importing in the UK.
As time passes there can be further decline as a 15 per cent decline in export is already predicted for the year 2021. India must take advantage of the latest shift of cargo transfer and make the industry get hold of the international market again or else this can be a major decline.

cargo to India

cargo to India

Some major factors have affected the trade of this item between the two countries. To take things back on track there has to be something alluring to get the target. According to the experts, there can be major revenue generated through the trade of this item as before.

Both air and sea cargo suits the article

As in the whole world, the trade trend has changed. The sea cargo prices increased and the medium has become pricier for cargo travel. This medium was taken to be the most affordable before 2020 but now the case has reversed. With the increase in oil prices, the industry has been affected in the worst way and to compensate that this has to be done.

With the decrease in the rate of passengers travelling to international destinations, the airlines have reduced prices for cargo travel. This was done to compensate for the less generated revenue from the passenger travelling. Tea is an article that is fit to travel from any of the two mediums. As in any other country of the world Air cargo to India is also seeing the trend.

To get the most out of it India must look to find ways for increasing the export. As air cargo has many advantages attached and another one added makes it an attractive choice. This simple item can gain its position back in Indian exports and UK imports again.

Pricier trade is one of the reasons for the decline

One of the main reasons for the decline in the Indian tea trade in the UK is that there is not good quality and also there is the high price. As compared to this the Kenyan tea is of good quality and the price is lower. That difference has made a difference. As the perspective goes the ongoing pandemic is also blamed for lowering this item trade.

Air Cargo

Air Cargo

The consumption of tea is also said to be a factor that raised the prices due to less availability of the article. It is said that in Sri Lanka and Kenya the consumption is lower and that is why due to surplus the price is also lower.

So when Britain has a much better option why not save money. Another factor is the lower consumption of black tea in the UK as the use of green tea rises. Green tea is where the country is lacking exporting a very little amount to the UK.

Not only has the export, domestic consumption lowered

Apart from export, the domestic consumption of black tea has also seen a fall. Due to lockdown the outdoor dining closed, tea stalls closed and that made a major portion of tea consumption suffer. The farmer also suffers directly due to such a situation. For the export there has to be something new cultivated to make the tea different from other countries and also make it less expensive for the bid.

The domestic consumption of many things have been lowered and that has made a big difference to the regional economy as well. India is one of the fastest-growing economies in the world and the tea trade can certainly make a difference in boosting the trade further.

If black tea is not giving the desired results, then experimenting on something new can prove profitable. Making a big item useless is not wise. Once the after-effects of this pandemic vanish there is going to progress again but there should be something in it for this aspect.

Trade conditions in India

Till now the previous trade line cannot be achieved. Although, things are going in favour and the country is towards a fast recovery. The COVID 19 conditions are improving still there is a threat as patients incoming and deaths are there. There are restrictions still that make the process slower.

Since last two years trade is at minimal or halt. But now the borders are opening for the country and if everything goes well and in favour of India things can go back to normal. But of course, we cannot say that only India suffered, there are other economies still suffering trying to get back on their feet.