The Tea Association of India (TAI) sought fiscal incentives from the West Bengal government to withstand the crisis arising out of the substantial drop in production, a statement said.

TAI president Sandeep Singhania said that in 2024, there has been a substantial drop in production while price realisation had not been commensurate with it.

According to data released by the Tea Board, there had been a production loss of 11 percent in Assam and 21 percent in West Bengal in July 2024, as against the similar period of 2023.

TAI said that adverse weather conditions and pest attacks were the key factors for the decline in production.

The industry was looking at a production drop of around 160-170 million kg in 2024, it said.

In 2023, the production was 1,394 million kg, according to Tea Board estimates.

TAI said the industry in north India, comprising primarily Assam and West Bengal, had suffered because of non-receipt of the subsidy by the Tea Board for developmental work undertaken by the gardens.

It said the industry was seeking fiscal incentives from the West Bengal government for support during this "period of crisis".

The Assam government has already extended fiscal incentives to the industry, it said.

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