It’s no secret that Pakistanis love their chai. Most people simply cannot function without their morning cup of tea, and tend to drink several cups a day.
And recently released statistics have only confirmed how much Pakistanis love chai.
Pakistan is among the top 7 countries where tea consumption is significantly increasing. A massive increase of 35.8% in per capita consumption of tea in Pakistan has been recorded during the last few years.
The amount of tea imports in the country is increasing day by day and black tea consumption in Pakistan has been estimated at an incredible 172,911 tonnes which is expected to increase to 250,755 tonnes by 2027.
Pakistan consumes 172,911 tonnes a year.
Globally, the production of black tea is projected to rise annually by 2.2% over the next decade to reach 4.4 million tonnes in 2027, reflecting major output increases in China, Kenya and Sri Lanka — with this China would reach the output levels of Kenya, the largest black tea exporter in the world.
Since tea is a poor man’s beverage as much as for the rich, the love of tea generates demand for imports as well as smuggled goods. According to an estimate 20% of Pakistan’s tea consumption is sourced through smuggling.
Pakistan was a producer and exporter of tea till 1970, but after the loss of its eastern wing, aka Bangladesh, it turned into an importing country.
Most of the tea consumed in Pakistan is imported from Kenya.
Most of the tea consumed in Pakistan is imported from Kenya. Pakistan also produces tea locally in the Chinkiari Farms.
The National Agriculture Research Centre indicates that tea is a high value crop, with a gross margin of Rs. 21,340 per acre as compared to wheat or maize which earn a gross margin or Rs. 6,675 acre. But farmers are not interested firstly due to high initial investment and secondly because tea plants take 3 to 4 years before they can start producing the required leaves.
The Pakistan’s tea manufacturing sector is dependent on blending imports and packaging them for consumers. The local sector is divided into two big brands Lipton and Tapal and some other unorganised tea brands. They also faced competition from smuggled tea.
Pakistan imported tea worth $94.419 million in the latest fiscal year.
Tea Imports in Pakistan
During the latest fiscal year, Pakistan imported 34,126 tonnes of tea worth $94.419 million. Last year, the figure stood at $94.194 million during the same time period.
The amount of tea imports in the country increased by 2.36% during July-August in 2017-18 as compared to the same period last year.