Issue link: https://read.dmtmag.com/i/716988
STiR coffee and tea 37 K L O T H & K Ö H N K E N T E E H A N D E L G M B H K O N S U L - S M I D T - S T R A S S E 8 j SPEICHER 1 - D -282 17 BREMEN FON + 4 9 - 4 2 1 - 3 4 8 5 2 6 4 FAX + 4 9 - 4 2 1 - 3 4 7 7 7 2 0 W W W . K K T E E . D E M A I L @ K K T E E . D E IT SUITS ALL MERCHANTS TO TRADE FAIR AND QUALI-TEA ! Unique terroir gives Choladi tea some of the highest antioxidant values in India packed into bags of various sizes accord- ing to the customer's needs. Solubles are an important segment of India's tea production. Agarwal estimates production capac- ity between 7,000 and 8,000 metric tons, and around 4,000 tons of exports. The majority of India's tea (89%) is CTC (cut, tear, curl) manufactured for tea bags and sachets. The remainder is ortho- dox. Solubles manufacturing generates sig- nificant "value-added" revenue. Global demand for tea solubles is ex- pected to be 50,000 to 60,000 MT, he said. Teas used to make functional and ready-to-drink tea are best suited for ex- port as domestic demand is light. The major manufacturers such as Nestlé In- Choladi Tea Powders Total Polyphenols 32-40% Total Flavonoids 27-34% Total Catechins 27-32% EGCG* 10-13% Caffeine 4-5% Source: Nestlé Research Center *Epigallocatechin-3-gallate. dia, Unilever, Tata tea, Goodricke, and AV Thomas—all look to Asia, the US and Russia for customers. India exports solubles to 23 countries but "China has emerged as the biggest con- sumer for instant tea in the last few years," said Agarwal. China imported 4.37 million kilos of Indian tea in 2015 (CTC and solubles), which was 21% higher than 2014. Sales slowed this year. "Since 2008 instant tea has been the driving force in the Chinese tea market, in- creasing sales by $1.7 billion and accounting for 92% of Asia-Pacific's instant tea sales," according to Euromonitor beverages analyst Dana La Mendola. The market there consists almost entirely of instant milk teas that replicate the sweet flavors of street-side stalls, kiosks, and cafés. In Russia, where 94% of the population drinks tea, growth stagnated in 2015 at a retail volume of 180,000 metric tons, according to Euromonitor. A shift toward mid- priced and economy tea has impacted India exports. In 2015-16 the Russian federation imported a combined 46 million kilos of tea from India generating $99 million in trade. Australia is a growing market for instant but there the preference is for chai lattes, according to La Mendola. Beginning in 2009 sales of instant chai has increased as much as 24% per year (2012) largely among females from 20 to 40 years of age. Chai sells there for an average price of $1 per serving.