Growth and Decline in Assam's Tea Economy

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Summary

This article discusses the contrasting trends in productivity between Assam's traditional tea sector and its newer small tea gardens, highlighting the potential for the latter to drive future growth.

Growth and Decline in Assam's Tea Economy

Highlights

Rise of Small Tea Gardens

Small tea growing is a relatively new aspect of Assam's tea economy, with approximately 85% of these gardens established after the 1990s. While tea bushes can produce effectively for up to 35 years, the average age of bushes in the organized tea sector exceeds 40 years, whereas those in small tea gardens are less than 20 years old.

Productivity Trends

The organized tea sector in Assam is experiencing a decline in productivity. In contrast, the small tea producing sector shows improving productivity and is projected to continue this positive trend for another 15 to 20 years. A survey indicates that small tea growers in one district have bushes averaging less than eighteen years old, suggesting sustained high production for two decades.

Economic Impact for Small Growers

The increasing production trend is expected to provide new income sources and significantly improve the financial situation for small tea growers in the foreseeable future, offering a positive outlook for their economic well-being.

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