Darjeeling tea industry seeks Centre's support amid deepening financial stress

Kolkata: The Darjeeling tea industry, globally recognized for its distinctive Geographical Indication (GI) status, has sought targeted intervention from the government to get out of the undergoing financial stress. Production has witnessed a sharp structural decline over the years due to ageing tea bushes, difficult terrain, climate-related disruptions, and persistent manpower challenges.

Output has fallen from 11.58 million kg in 2008 to nearly 5.3 Mkgs. in 2025, while Darjeeling tea prices have also recorded a negative CAGR of around 2% between 2018 and 2024, further undermining the economic viability of the estates.

Given the prevailing price volatility and rising input costs, introduction of a comprehensive sustainable pricing framework, including a Minimum Sustainable Price (MSP) linked to cost of production and quality, which could also serve as a Minimum Import Price, merits serious consideration to ensure long-term sectoral viability, the industry executives said.


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Extension of Central and State welfare, agricultural, and climate resilience schemes to the organized tea plantation sector, including support for healthcare, irrigation, crop insurance, rural infrastructure, and off- season employment generation, is essential for ensuring the long-term sustainability of the industry.

Further, tea being an agricultural crop highly vulnerable to climate volatility, it is essential that the benefits of schemes under the Ministry of Agriculture, such as Pradhan Mantri Krishi Sinchai yojana, Accelerated Irrigation Benefit Programme, and Pradhan Mantri Fasal Bima Yojana, are extended to the organized tea plantation sector to help mitigate rising climate-related costs. The Ministry of Commerce is requested to consider and facilitate this support favourably, industry executives said.

The industry has also sought Introduction of a customized relief package for the Darjeeling tea sector, including interest subvention on working capital, conversion.