TEA Urges Government Aid for Tea Smallholders to Boost Production 📈

• Tea Exporters Association (TEA) met with President Anura Kumara Dissanayake to address a critical drop in Sri Lanka's tea crop and discuss solutions for the export sector. • Production Slump: Annual tea production declined from 340 million kg in 2013 to 261 million kg by 2025. This drop restricts potential exports (exporters can handle 400 million kg annually) and stagnates export revenue at around US$ 1.5 Bn per year. • Smallholder Crisis: Over 480,000 tea smallholder farmers account for 75% of the national crop. Following consecutive policy crises (glyphosate and agrochemical bans), productivity plunged to ~150 kg of green leaf per acre per month, against a 600 kg potential, capping average monthly farmer income at ~Rs. 23,000. • The Infilling Solution: Most smallholders have under 3,000 plants per acre instead of the optimal 5,000. TEA proposed a state/bank-backed loan or grant scheme to fund a one-time "infilling" cost of Rs. 200 per plant. • Economic Impact: Post-infilling (after 2 years), a single plant can generate over Rs. 450/year for the farmer and over Rs. 850/year in foreign exchange for Sri Lanka for up to 30 years. • State Response: The President committed government support to enhance tea production, highlighting its importance for national economic recovery and stabilization.