Home / / Ceylon Tea aims for niche markets

Ceylon Tea aims for niche markets


Comments / 1057 Views / Tuesday, 31 January 2012 00:00


At a press briefing held adjunct to the inauguration, Sri Lanka Tea Board Promotions Director Hasitha De Alwis noted that Sri Lanka as a high quality producer does not prioritise on volume. “If you look at value, Sri Lanka despite exporting 300 million kilos and becoming a main exporter has earned much more foreign exchange than any other country in the world.

As a high cost, high quality producer, the priority going up the ladder is to target the niche market. Priority is not to become the biggest exporter but to become the biggest revenue earner, which we are at the moment. We need to maintain it and go higher up the ladder in value addition and brand marketing.”

De Alwis added that in general, Ceylon Tea still maintains the premium and is half a dollar ahead from other auctions. However when going deeper into the market, things have begun to change, he said. “Countries in Middle East, Gulf and N. Africa still demand Ceylon tea and are willing to pay higher prices. Similarly Russia and CIA despite all obstacles still demand Ceylon tea. Things have however changed in the western world. Europe and North America among others cannot pay high prices. We move towards markets that can pay for the premiums.” Sri Lanka’s main target is tea bags and other speciality teas.

Speaking about US going for low quality tea, De Alwis stated that 80% of all tea consumed in US are taken as ice tea which are consumed in Ready To Drink (RTD) form.

 


Share This Article


COMMENTS

Today's Columnists

Bringing up the bodies – again

28 September 2016

One government cruelly executes bothersome editors acting as the gadfly conscience of a war-wracked country. Another government carefully – or is it carelessly – exhumes the body. Feels like we have watched the procession of a...


Strategic approach towards banking the unbanked persons in Sri Lanka

28 September 2016

  Financial inclusion has drawn the heightened attention of policy making authorities worldwide. This should also be a vital element in policy architecture for the financial sector in Sri Lanka. Hence, identifying key attributes for ...


STP In action: Philippines tourism

27 September 2016

Given the celebration of tourism week, it is interesting to study the different practices of countries in driving tourism strategy. One case study which emerged showing a destination which drove the basics of business - Segmentation, Targeting and...


Top 5 new racists in Sri Lanka

27 September 2016

Lankan politicians believe they deserve to be treated as royalty simply because they got the people’s vote   When asked from Morgan Freeman (not Nelson Mandela) “how are we going to get rid of racism?” he ans...


Columnists More