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TEA

INDUSTRYPresented by:-

Janardhan Srinivasan

Sushil Kamble

Shilpa Gomase

Prajakta Patil

Sonal more

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About 170 years old.

Robert Bruce in 1823 discovered tea plantsgrowing wild in upper Brahmaputra Valley.

In 1838 the first Indian tea from Assam was sent

to United Kingdom for public sale.Thereafter, it was extended to other parts of the

country between 50's and 60's of the last century.

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India ---the largest tea producer and consumer in the world.

India ---produces some of the world's finest teas.

The famous specialty flavors are Darjeeling tea and Assam Tea from the north and Nigeriatea from the south.

Some of the features of Tea Industry are mentioned below:-

Labour intensive

Productivity and quality

Long gestation period

Perishable in nature and demand is relatively inelastic to price.

Organized agro industry

provides gainful direct employmentto backward and socially weaker section of the society.

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Tea plantations in India -mainly located in rural hills andbackward areas of North-eastern and Southern States

India has dual manufacturing base-produces both CTC andOrthodox teas in addition to green tea.

Year Events

Till 70s UK was the major buyer of Indian tea

Since 80s-till1991

USSR became the largest buyer of Indian teaaccounting for more than 50% of the exports.

1992-93 Indian tea exports suffered a setback

Since 1993 Indian Tea exports to Russia/CIS countriesrecovered from the setback

Since 2001 Depressed scenario again started

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Year Events

As on31.12.2006

1655 registered Tea Manufacturers,2008 registered Tea Exporters,5148 number of registered tea buyers,

9 tea Auction centres.

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Green Tea

White Tea

Black Tea

Oolong TeaPu-erh Tea

Scented Tea

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Per capita consumption in India Indias share in world exports

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SWOTAnalysis

Strengths:-Old Industry-Experience, Manpowerand Technical Skills, Good ResearchSupport

Weaknesses:-Min dev investment, StagnantProduction,No Effective Cost Management,Declining Exports

Opportunities:-

Quality andBrand Equity,ExportPotential, BigDomesticMarket,FinancialInstitutionSupport

Threats:-Open Global

competition,Low Cost insomecountries,Import ofTea,UncertainPrice

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Conclusion

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IndustryCompetitors

Rivalryamongexisting

firms

PotentialEntrants-Relianc

e

Suppliers

Substitutes-Coffe

e

Buyers

Threat of newentrants

Bargainingpower ofbuyers

Threat ofsubstituteproducts orservices

Bargaining power

ofsuppliers

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Taking into consideration the threat of new entrants,threat of substitutes, bargaining power of suppliers andbargaining power of buyers, our strategy would be:-

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