West Asia crisis hurts Indian tea exporters

Indian tea exporters are facing shipment delays and rising costs amid the ongoing West Asia conflict, as noted during International Tea Day on May 21, 2026.

India’s tea industry marked one of its gloomiest International Tea Days on May 21, 2026, since the observance began in 2005. The West Asia conflict, which started in February and involves the United States, Israel and Iran, has disrupted exports to key markets around the Gulf of Persia and the Gulf of Oman.

The Indian Tea Association reported that 87 percent of India’s tea exports go to 21 countries in Europe, the Commonwealth of Independent States and West Asia. Iran, Iraq, the United Arab Emirates, Saudi Arabia, Turkiye and Egypt alone account for 46 percent of these shipments. Exports from January to March showed a decline compared with the same period in 2025.

Freight rates have risen and shipping lines have added an emergency fuel surcharge on cargo from India. Dinesh Bihani, secretary of the Guwahati Tea Auction Buyers’ Association, said delays and higher transaction costs are affecting competitiveness in Iran, the UAE and Iraq.

Bidyananda Borkakoty, adviser to the North Eastern Tea Association, noted that shipments are now delayed by more than 40 days and warned that exports risk falling sharply from the 2025 record of 280.4 million kg valued at ₹8,488.43 crore.

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