Heavy rain helps Assam tea industry clear stock, but production to decline

In 2016, the Indian tea industry registered a bumper crop at 1,233 million kg

Tea plantations in Assam are facing a production dip because of excessive rain. This might help sell off a 24-million-kg carryover stock at stable prices. 

Industry sources said the situation would help balance availability at tea auctions and help fetch expected prices. Had production been normal at 30 million kg in March, it would have affected the forthcoming auctions as this tea would have gone under the hammer along with the carryover stock.

Auction prices of CTC (crush, tear, curl) tea opened at expected levels in January at Rs 142.07 a kg in Kolkata and Rs 123.86 a kg in Guwahati but