MUMBAI, May 12 (Reuters) - India's tea exports in the first three months of 2009 fell 24 percent as a domestic output shortfall, firm internal demand and the global economic slowdown weighed on exports, a senior Tea Board official said on Tuesday.
Total Jan-March exports stood at 38.90 million kg, against 50.94 million kg a year ago, while production during the period fell 9 percent to 81.88 million kg, she said.
"One main reason is that there is no supply. Production in India in the last three months, because of drought and related weather problems, has gone down and there is demand in the domestic market also," Deputy Chairman Roshni Sen told Reuters.
A reduction in export demand due to the global economic downturn also hurt, she added.
Exports from north India fell 34 percent to 19.94 million kg, while that from south India fell 8 percent to 18.96 million kg in Jan-March.
India exports Crush-Tear-Curl or CTC tea mainly to Egypt, Pakistan and the UK and the premium orthodox tea to Iraq, Iran and Russia.
However, exports in the coming months is expected to improve on the back of increased orders from countries like Iran, Iraq and Egypt, Sen said.
A production shortfall in key producing countries such as Kenya, Sri Lanka is also seen pishing up exports in the coming months, she added.
India, China, Sri Lanka, Indonesia and Kenya together produce 75 percent of the total global output.
Source : REUTERS INDIA