From Field to Cup: Assam’s Tea Supply Chain

India stands as the world’s second-largest tea producer, with the Assam state holding the crown as the largest tea-growing region globally. The tea industry is a cornerstone of the Indian economy, employing an estimated 3.5 million people, most of whom are women. Assam alone contributes over half of India’s tea production, yielding between 630 and 700 million kg of tea annually. However, the idyllic image of tea gardens often masks the harsh realities faced by the workers within this supply chain. Caritas India, in partnership with the Arise Foundation, has recently conducted a pivotal study on the stakeholder profiling of the tea supply chain in Sonitpur district, Assam, revealing the multifaceted challenges and proposing strategic interventions to uplift this crucial sector.

The study aims to map out the various stakeholders involved at each stage of the tea supply chain and assess their engagement levels. This comprehensive profiling includes large-scale industries, which dominate the market, medium-sized enterprises, and an increasing number of small tea growers organized into cooperative societies and self-help groups. By dissecting the supply chain into pre-production, production, and market-to-consumer segments, the study provides a nuanced understanding of the roles and responsibilities of each stakeholder group.

The journey of tea from field to cup is a complex process involving multiple stages and a diverse array of stakeholders. It begins with the cultivation of tea plants, primarily handled by small growers and large plantations. Tea pluckers, predominantly women, painstakingly harvest the tender leaves, which are then transported to processing units. These units, operated by medium and large-scale industries, perform the rolling, fermenting, drying, blending, and packaging processes essential to produce the final tea products.

Throughout this journey, tea workers play a crucial role but often face significant challenges. Despite their hard work, many tea pluckers receive low wages and lack basic social protections. The labor-intensive nature of tea production means that workers’ wages can account for up to 60% of total production costs, yet these workers often live in poor conditions with limited access to healthcare and education.

To illustrate the realities within Assam’s tea sector, Caritas India’s study closely examined the Naharbari tea industry in Sonitpur district. Established in 2010 with support from the Tezpur Social Service Society and funded by the Danish International Development Agency (DANIDA) and Caritas Denmark, Naharbari serves as a model of community-driven enterprise.

Naharbari operates on a value chain approach, continuously collecting tea leaves from small tea growers—marginal farmers with land below one acre. This setup ensures that these small growers have a stable income without relying on middlemen. The business began tea production in 2011, providing saplings to self-help group (SHG) members in project villages to boost the income of marginalized communities.

The Naharbari case underscores the potential benefits of organized efforts and cooperative models in the tea industry. However, it also highlights the persistent issues of fair wages, social protection, and worker safety that need addressing across the sector.

Based on its findings, Caritas India proposes several recommendations to bolster the tea supply chain and improve the livelihoods of tea workers:

  1. Organizing Small Growers into Cooperatives: Encouraging small tea growers to form cooperatives can enhance resource sharing, provide access to training, and improve market access. This collective approach can significantly boost their income and social security.
  2. Fair Wages and Seasonal Incentives: Ensuring fair compensation and providing seasonal incentives for tea pluckers and leaf collectors can stabilize the workforce and reduce turnover rates, leading to more consistent production levels.
  3. Capacity-Building Workshops: Offering training on best practices in tea cultivation and processing can help maintain high-quality standards and improve overall productivity across the supply chain.
  4. Sustainable Pest Management: Suppliers of pesticides and fertilizers should educate growers on sustainable pest management practices, minimizing environmental impact while maintaining crop health.
  5. Improved Logistics and Market Access: Enhancing transportation and storage methods can reduce post-harvest losses and maintain tea quality. Strengthening relationships with retailers ensures consistent market access and addresses marketing strategy gaps.
  6. Health and Safety Protocols: Conducting regular health camps and establishing permanent healthcare facilities within tea gardens can improve worker well-being. Implementing safety protocols and providing protective gear further enhance workplace safety.
  7. Environmental Sustainability: Large tea estates should prioritize high environmental standards in all stages from cultivation to packaging. Emphasizing transparency in sourcing and production processes can boost consumer trust and promote a reputation for sustainability.

Caritas India’s study and subsequent recommendations align with the United Nations’ Sustainable Development Goals (SDGs), particularly the goal of “No One Left Behind.” By addressing the systemic issues within the tea supply chain and advocating for the rights and welfare of tea workers, Caritas India is working towards a more just and equitable society. The integrated efforts involving stakeholders at every level, combined with sustainable practices and supportive policy interventions, aim to create a resilient and prosperous tea industry that benefits both producers and local communities.

The tea industry in Assam is at a crossroads. The findings from Caritas India’s study reveal the critical need for strategic interventions to support the workers who form the backbone of this industry. By fostering stakeholder collaboration, enhancing working conditions, and promoting sustainability, the tea supply chain can transform into a model of inclusive growth and social justice. The commitment of Caritas India to these goals is ensuring that the legacy of Assam’s tea industry continues to flourish, leaving no one behind.