### 📉 Tea Sector: 2026 Predicted as Toughest Year for Growers

Dilmah Tea Chairman Dilhan C. Fernando warns that 2026 may be the most challenging year for the tea industry, citing a systemic "race to the bottom" that threatens both the sector and global food security. • The "Discount Culture" Crisis Global focus on cheap produce is driving an unethical and unsustainable environment for growers. "Opaque value chains" and profit-motivated buying favor mediocre quality over premium tea standards. Excessive discounting is blamed for disconnecting consumers from the true cost of worker welfare and environmental health. • Existential Threats to the Industry Climate Change & Soil Health: Rising temperatures and erratic weather patterns compromise biodiversity and food safety. Economic Inequality: While funds for sustainability exist, Fernando notes they often go to the "wrong pockets," leaving producers unable to afford essential adaptation. National Impact: Sri Lanka’s tea industry cannot genuinely afford the high cost of climate adaptation under current commodity pricing models. • Sector Priorities for 2026 Agricultural innovation and soil rehabilitation are critical for survival. Addressing gender balance, nutrition, and housing in tea communities to prevent industry disintegration. The shift from "commodity pricing" to "value-based" models is essential to protect the livelihoods of millions.