Vietnam’s tea makes global recovery

The price of export tea has recently increased after experiencing a two year down turn, according to the Vietnam 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 $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 Thai Nguyen province, the northern tea hub, the price currently stands at about VND70 million ($3,500) per tonne, a year-on-year increase of roughly 20 per cent, and the price of higher-quality tea is much more, at between VND90 million ($4,500) and VND120 million ($6,000) per tonne.

“Vietnam’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,” he added.

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 only increased by 2 per cent to 125,000 tonnes.

“Vietnam’s 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 course for farmers to help them improve their produce.

Vietnam is the fifth largest exporter of tea in the world, exporting 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 Vietnam work in the tea industry. – VNS

Tags: Vietnam tea