Marketing and Price Fixation in the Tea Industry

Marketing plays a crucial role in linking product manufacturers or sellers with their end customers. In the context of the tea industry, agents are currently targeting small tea growers.

The Tea Board has developed a price-sharing formula specifically for setting the price of green tea leaves produced by small tea growers. This price fixation has subsequently reduced the influence of agents in the selling process of green tea leaves.

Establishing the Assam tea brand in accordance with international quality standards is projected to lead to higher prices in the global market. Increased price realization will specifically benefit small tea growers due to their adaptable cultivation processes. Furthermore, value addition to tea contributes to expanding the overall tea market, creating growth opportunities for the small tea growing sector.