India's Tea Production Soars in 2025: Assam Leads the Charge

India’s tea production has seen a remarkable surge in the first five months of 2025, with total output reaching 336.2 million kilograms (mkg) — a 26% increase over the same period in 2024, according to the latest figures released by the Tea Board of India. The spike is largely driven by a bumper harvest in North India, especially Assam, which continues to dominate the country's tea landscape.

Assam’s Strong Rebound

According to the report produced by leading tea broking house J Thomas, Assam, the heartland of India's tea industry, contributed 131.93 mkg till May 2025 — up from 115.65 mkg last year. This represents a 14% year-on-year growth. Within Assam, the Assam Valley region alone produced 125.77 mkg, recording a 16% increase.

However, Cachar saw a decline of 16%, continuing its recent downward trend.

Despite the gains, total production in Assam is still 8% below its 2023 levels, raising questions about long-term structural issues in areas like Cachar and plateauing yields in legacy gardens.

India’s Overall Production at Record High

India’s tea industry witnessed an all-India increase of 68.86 mkg in the January–May 2025 period compared to 2024 — an unprecedented jump. 

Key highlights include:

North India (Assam, West Bengal, and others):

Grew from 192.18 mkg to 240.29 mkg — a 25% rise.

South India (Tamil Nadu, Kerala, Karnataka):

Registered 95.93 mkg, up 28% from 75.18 mkg in 2024.

Regions like Dooars and Terai in West Bengal posted the highest growth, with Dooars alone expanding output by 36% year-on-year.

Global Context: India Overtakes Key Producers

India's rise is especially significant as global competitors showed mixed trends:

Sri Lanka: Increased by 9.1 mkg.

Kenya: Dropped significantly by 31.9 mkg.

Bangladesh and Malawi: Showed marginal shifts.

India now accounts for over 53% of tea output among the major producing nations, reaffirming its position as a global tea powerhouse.

Category-wise Trends

From January to May 2025, the production breakdown is as follows:

CTC (Crush-Tear-Curl): 288.89 mkg

Orthodox: 41.86 mkg

Darjeeling: 1.34 mkg

Green Tea: 4.13 mkg

CTC continues to dominate, particularly in Assam and Dooars. Orthodox tea, while niche, has maintained price premiums, especially in North India.

Market and Price Trends

The average sale price of tea in India till June 2025 stood at ₹176.69/kg, up from ₹163.39/kg in 2024.

Notably:

North Indian teas fetched ₹195.63/kg

South Indian teas averaged ₹133.97/kg

Assam CTC and Orthodox teas fetched premium rates in auctions, with strong demand in both domestic and export markets. However, sales volumes showed only modest growth, suggesting possible oversupply or weaker demand in certain segments.

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