Shortage of stock prompts HUL, Tata Consumer to boost tea procurement

A TCPL spokesperson said that the lockdown had impacted the supply of tea to some extent and it was buying from multiple channels, including directly from plantation companies

Faced with a severe shortage in stocks, tea retailers like Hindustan Unilever (HUL) and Tata Consumer Products Ltd (TCPL) are aggressively increasing their sourcing of tea to meet the demand in the market. The move, in turn, has pushed up procurement prices at an all-time high.

Sources in Guwahati Tea Auction Buyers’ Association (GTABA) said that from sale numbers 14-25, which took place just after the lockdown, HUL bought 25 per cent of 12.66 million kg (mkg) total tea sold, while TCPL accounted for 5 per cent. In the Siliguri auctions, where 10.99 mkg of tea was sold, HUL bought 15