Tea growers smile as prices recover by about 11%

The price of export tea has recently increased after experiencing a two-year downturn, according to the Viet Nam Tea Association (VTA).

The price of export tea has recently increased after experiencing a two-year downturn, according to the Viet Nam Tea Association (VTA).

“After two years, the price has increased. In the first 10 months of this year, the average tea price was more than US$1,460 per tonne, an increase of more than 11 per cent over the same period last year,” said Tran Van Gia, deputy chairman of the VTA.

In the northern province of Thai Nguyen, the national tea hub, the price currently stands at about VND70 million ($3,300) per tonne, a year-on-year increase of roughly 20 per cent, and that of higher-quality tea is much more, at between VND90 million ($4,200) and VND120 million ($5,700) per tonne.

“Viet Nam’s tea has become highly regarded in the world market. Its price has reached the regional level,” Gia said.

“The price will continue to increase strongly, especially for the coming Lunar New Year Festival.”

Thanks to the higher price, the total tea export turnover for the first 11 months of 2010 increased by 11.5 per cent year-on-year to $182 million, a significant increase given that the export volume during that time increased by only 2 per cent to 125,000 tonnes.

“The Viet Nam tea industry has earned this reward because it has worked hard to improve quality and ensure food safety,” Gia said, adding that the industry had held training courses for farmers to help them improve their produce.

Viet Nam is the fifth largest exporter of tea in the world, shipping to 110 nations and territories. The “Che Viet” trademark is registered and protected in 70 markets.

Tea has played an important role in eradicating hunger and reducing poverty. About 6 million people in Viet Nam work in the tea industry.- VNS

Tags: Vietnam tea, Vietnam tea exports