Tea News and Biz Insight - July 22, 2022
HEAR THE HEADLINES – Bypassing Sanctions is Benefitting India’s Tea Industry | Reinvention is Routine at Starbucks | South Africa's Rooibos Industry Makes First Payout to Indigenous Communities | NEWSMAKER – Niraj de Mel, Chair Sri Lanka Tea Board | FEATURE INTRO – Tea Biz travels to Sri Lanka this week, where newly appointed Tea Board Chair Niraj de Mel is rallying tea stakeholders – growers, manufacturers, producers, brokers, and exporters – in the face of formidable challenges. De Mel told Tea Biz correspondent Dananjaya Silva, “I am privileged to take on this role at such a crucial time.” Sri Lanka is Relying on its Resilient Tea Industry – Sri Lanka is in turmoil politically and financially; the country of 22 million is struggling as widespread demonstrations continue. Unrest is tied to food inflation exceeding 50%, with critical shortages of cooking gas, fuel, and reliable electricity. The country has defaulted on its foreign debt, and its currency devalues with a credit rating that discourages outside investment. Government bankers are at an impasse in negotiating a bailout from the International Monetary Fund that will depend on difficult reforms, including higher taxes and governance changes. Tea producers are confronting all the above challenges, yet the Ceylon tea brand remains resilient. Last year, the industry generated $1.3 billion in US foreign currency, exporting 300 million tons of tea, of which 270 million was high-value orthodox tea. Industry veteran Niraj De Mel was named Chairman of the Sri Lankan Tea Board in June 2022, his second appointment to a position he previously held in 2004. In this discussion with Dananjaya Silva, Managing Director at PMD Tea, De Mel explains the challenges and solutions facing Sri Lanka's tea industry. Support this podcast at — https://redcircle.com/tea-biz/donations Advertising Inquiries: https://redcircle.com/brands Privacy & Opt-Out: https://redcircle.com/privacy