Nepal tea
Encyclopedia
Nepal
Nepal
Nepal , officially the Federal Democratic Republic of Nepal, is a landlocked sovereign state located in South Asia. It is located in the Himalayas and bordered to the north by the People's Republic of China, and to the south, east, and west by the Republic of India...

, a landlocked country in South Asia, sandwiched between China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...

 (in the north) and India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...

 (in the south), produces tea
Tea
Tea is an aromatic beverage prepared by adding cured leaves of the Camellia sinensis plant to hot water. The term also refers to the plant itself. After water, tea is the most widely consumed beverage in the world...

 that is a cousin of Darjeeling tea in its appearance, aroma and fruity taste. Nepal tea if often referred to as the comparable, "classic" Darjeeling tea, and a great alternative from the "more expensive" Darjeeling tea. The reason for the similarity of Nepal Tea with the well-known Darjeeling tea is that the eastern zones of Nepal, which are the main tea producing regions of Nepal, have more or less the same geographical and topographical conditions as the Darjeeling.

Nevertheless, Nepal tea does stand apart from the Darjeeling tea, despite being introduced to the world much later than the Darjeeling tea. Tea connoisseurs’ consider some of the teas’ from Nepal to be much better than the Darjeeling tea in its aroma, fusion, taste and colour. However, Nepal tea has not been that successful in capturing limelight in the world tea market, mainly due to the lack of sufficient quantities of tea, that often fails to meet the demand. Since its inception, Nepal tea is characterized by two types of tea, which are Orthodox tea and CTC (Crush, Tear, Curl
Crush, Tear, Curl
Crush, Tear, and Curl is a method of processing black tea, similar to that of orthodox tea manufacture. Instead of the leaves being rolled as a final stage, they are passed through a series of cylindrical rollers with hundreds of small sharp "teeth" that Crush, Tear, and Curl.CTC was invented by W...

) tea.

Orthodox tea

Orthodox tea refers to the process, where the tea is hand-processed or by rolling it in the machines which mimics the hand rolling technique. Most of the speciality teas, like green tea, oolong tea, white tea and hand rolled tea come under the category of orthodox tea. In Nepal, orthodox tea is produced and processed in the mountainous regions of Nepal at an altitude ranging from 3,000 – 7,000 feet above the sea level. There are six major districts, primarily in the eastern regions of Nepal that are known for producing quality orthodox tea, which are Ilam
Ilam
Ilam may refer to:* Ilam Province, Iran** Ilam County, Iran** Ilam, Iran, city, capital of Ilam Province and Ilam County* Ilam, Nepal, municipality and tea-producing town in Nepal* Ilam District, Nepal...

, Panchthar
Panchthar
Panchthar is the headquarters of Panchthar District in the Mechi Zone of northern Nepal....

, Dhankuta
Dhankuta
Dhankuta is a hill town of Nepal located along the geographical coordinates- 26° 59' 0" N / 87° 20' 0" E, with about 20,000 inhabitants, located in the Dhankuta District in the eastern part of Nepal. Until about 1963 Dhankuta Bazaar was the administrative headquarters for the whole of...

, Terathum, Sindhupalchok and Kaski.

Orthodox tea in Nepal is characterized by four flushes:-
  • First flush, begins in the fourth week of March and continues until the end of April. The leaves are tender and the liquor is light yellowish green in color, having a delicate taste with subtle aroma and flavor. The first flush is considered to be more expensive, because of its light and delicate flavor, but also due to the fact that it is produced in low quantity and the demand outstrips the supply.

  • Second flush, starts during the second week of May and lasts until the last week of July. In the second flush the leaves gain more strength and exhibits the main characteristics of tea in contrast to the first flush tea. Some experts state that the best tea is made during the second flush.

  • Monsoon flush, also referred as "Rainy tea" begins immediately after the second flush, that is around the last week of July and continues until the end of September. The monsoon tea, due to the continuous rain, exhibits a very intense and dark fusion as the tea develops its full color and strength, resulting into a full bodied tea. It is often recommended.

  • Autumn flush, usually begins in October and lasts until the end of November. The autumn tea gives a fantastic combination of musky flavors, tangy aromas and an amber liquor.

CTC tea

Crush tear curl (CTC) tea is a method of processing tea, where three main steps are involved - crush, tear and curl, hence the name CTC tea. CTC tea is produced in lower altitudes in the fertile plains of Nepal, which are warm and humid, primarily in the Jhapa district, which is ideal for the production and processing of CTC tea. The CTC tea produced in Nepal is known to be of average quality. It accounts for almost 95% of the domestic consumption, owing to its cost of production, which is much less comparatively to that of the orthodox tea.

The Nepal CTC tea is also characterized by four pronounced flushes, the First, Second, Monsoon and Autumn flushes, but unlike the orthodox tea, the CTC tea is more or less uniform throughout, often exhibiting a strong color and subtle aroma after infusion. However, the flushes does not begin and end in accordance with that of the orthodox tea, mainly because of the difference in the geographical and topographical conditions.

During the Rana Dynasty

During the 1800s and the early 1900s, Nepal was under the reign of a highly centralized autocracy – “Rana Dynasty
Rana dynasty
The Rana dynasty ruled the Kingdom of Nepal from 1846 until 1953, reducing the Shah monarch to a figurehead and making Prime Minister and other government positions hereditary...

”. The Rana Dynasty expressed as monarchy. Under its reign, policies were ratified which often resulted in the isolation of Nepal from the external world. Nepal’s borders and governance were constantly under turmoil, both internally and externally. Unlike India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...

, the policies helped Nepal retain its national independence from the British colonial rule. Although the policies helped Nepal maintain its independence, it insulated Nepal from modernization and economic development. Thus the nascent Nepal tea industry was greatly affected, and received a major setback, contrary to the “cousin” Darjeeling tea industry, which thrived under the British colonial rule.

It is believed by historians that the first tea bushes in Nepal were grown from seeds which were given as a gift by the Chinese Emperor to the then Prime Minister of Nepal, Jung Bahadur Rana.
Nevertheless, Nepal tea industry owes its roots to the colonization of India, by the worlds first multinational company, the “East India Company
East India Company
The East India Company was an early English joint-stock company that was formed initially for pursuing trade with the East Indies, but that ended up trading mainly with the Indian subcontinent and China...

”, under the British Empire
British Empire
The British Empire comprised the dominions, colonies, protectorates, mandates and other territories ruled or administered by the United Kingdom. It originated with the overseas colonies and trading posts established by England in the late 16th and early 17th centuries. At its height, it was the...

. Around 1863, within a time span of 10 years after the first tea plantation was set up in Darjeeling, hybrids of tea bushes were brought, and the Nepal’s first tea plantation, Ilam Tea Estate was set up in Ilam
Ilam
Ilam may refer to:* Ilam Province, Iran** Ilam County, Iran** Ilam, Iran, city, capital of Ilam Province and Ilam County* Ilam, Nepal, municipality and tea-producing town in Nepal* Ilam District, Nepal...

 district, at an altitude of 4,500-5,000 feet above the sea level. Visioning better future prospects of the tea industry in Nepal, two years later a second tea plantation, Soktim Tea Estate was set up in the Jhapa district.

However, the nascent Nepal tea industry failed to grow. At a time period when the Darjeeling tea
Darjeeling tea
Darjeeling tea is a black tea from the Darjeeling region in West Bengal, India. When properly brewed, it yields a thin-bodied, light-colored infusion with a floral aroma...

 industry was beginning to do very well in the global mercantilist market, the tea industry of Nepal failed to provide even for the domestic consumption. The reason for the setback of the Nepal’s young tea industry was mainly due to political turmoil and resulting economic policies of that period, under the reign of the Rana Dynasty.

After the Rana Dynasty

During the 1950s, there was a shift in the political scenario of Nepal. A new constitution was written to develop a democratic system. Despite failure in successful democratization, Nepal’s economy at least opened up to the rest of the world. As a result, the stagnant tea industry witnessed an inflow of public and private investment. The first private tea plantation was set up in 1959, in the terai region under the name Bhudhakaran Tea Estate.

In 1996, the Nepal Tea Development Corporation (NTDC) was set up to aid the development of the tea industry. Originally tea leaves produced in Nepal were sold to factories in Darjeeling, as the Darjeeling tea bushes had become old, leading to the deterioration of the processed tea. The Nepalese tea leaves were therefore a valuable input for the factories in and around Darjeeling. Finally in 1978, the first factory in Nepal was set up in Ilam for the processing of tea leaves and a few years later another factory was set up in Soktim, Jhapa district. From 1978 to the 1990s, various efforts were made by the Nepal Tea Development Corporation with the Overseas Development Administration (ODA), to encourage the participation of small and marginal farmers in the growth and production of tea as a cash crop. As a result, today the small and marginal famers constitute the majority percentage share in the Nepal tea industry. Slowly, the stagnant Nepal tea industry was evolving into a fully commercialized industry, benefitting the country’s economc and socio-economic development. To further aid in the development of its tea industry, in 1982, His Majesty’s Government of Nepal under the reign of the then King of Nepal Birendra Bir Bikram Shah Dev, declared five districts – Jhapa, Ilam
Ilam
Ilam may refer to:* Ilam Province, Iran** Ilam County, Iran** Ilam, Iran, city, capital of Ilam Province and Ilam County* Ilam, Nepal, municipality and tea-producing town in Nepal* Ilam District, Nepal...

, Panchthar
Panchthar
Panchthar is the headquarters of Panchthar District in the Mechi Zone of northern Nepal....

, Dhankuta
Dhankuta
Dhankuta is a hill town of Nepal located along the geographical coordinates- 26° 59' 0" N / 87° 20' 0" E, with about 20,000 inhabitants, located in the Dhankuta District in the eastern part of Nepal. Until about 1963 Dhankuta Bazaar was the administrative headquarters for the whole of...

 and Terhathum as Tea Zones of Nepal.

From 1987 to 1993, some of today’s notable institutions were incorporated to further aid the Nepal Tea Development Corporation in the development of a century old stagnant tea industry, like – National Tea and Coffee Development Board (NTCDB), Nepal Tea Planters’ Association (NTPA) and Himalayan Orthodox Tea Producers’ Association (HOTPA). In 1997, Nepal’s tea industry saw a major transformation towards privatization, with the privatization of the plantations and factories under the Nepal Tea Development Corporation (NTDC).

Since the late 1990s and into the early 2000s, an array of International Non-governmental organization
Non-governmental organization
A non-governmental organization is a legally constituted organization created by natural or legal persons that operates independently from any government. The term originated from the United Nations , and is normally used to refer to organizations that do not form part of the government and are...

 (like – Winrock, SNV, GTZ etc.) have become involved with the Nepal tea industry stakeholders, as the tea industry in Nepal also played a significant role in the eradication of poverty, especially in the rural areas where the tea plantations were concentrated. By the 21st century the stagnant tea industry had transformed into a fully commercialized industry, yet it had not yet developed a strong brand in the global market, lacking efficiently integrated production and marketing systems.

Hence, in 2000 as per the provisions of the National Tea and Coffee Development Board Act of 1992, the Government of Nepal
Government of Nepal
The Government of Nepal, or Nepal Government, is the executive body and the Central government of Nepal. Prior to the abolition of Monarchy in Nepal, was officially known as His Majesty's Government....

 ratified the National Tea Policy. The National Tea Policy focussed on the following five main broad topics: -
  1. Production and processing
  2. Market and trade promotion
  3. Institutional arrangement
  4. Manpower development
  5. Development and promotion of auxiliary industries

Present

Today, Nepal’s tea industry is dominated by private players, whereas in the 1990s the tea industry was a Government monopoly prior to the liberalization of the tea industry. Until 2003, Nepal tea exports accounted for only about 80 – 100 tons per annum. However, due to the liberalization adopted about a decade ago, the Nepal tea industry witnessed an exponential rise in tea exports, accounting for almost 4,000 – 5,000 tons per annum.

At present, Nepal produces approximately 16.29 million kilograms of tea per annum on an area of 16,718 hectares. It accounts for only 0.4% of the total world tea output. The main tea producing regions in Nepal are Jhapa, Ilam
Ilam
Ilam may refer to:* Ilam Province, Iran** Ilam County, Iran** Ilam, Iran, city, capital of Ilam Province and Ilam County* Ilam, Nepal, municipality and tea-producing town in Nepal* Ilam District, Nepal...

, Panchthar
Panchthar
Panchthar is the headquarters of Panchthar District in the Mechi Zone of northern Nepal....

, Dhankuta
Dhankuta
Dhankuta is a hill town of Nepal located along the geographical coordinates- 26° 59' 0" N / 87° 20' 0" E, with about 20,000 inhabitants, located in the Dhankuta District in the eastern part of Nepal. Until about 1963 Dhankuta Bazaar was the administrative headquarters for the whole of...

, Terhathum with newly involved regions being Kaski, Dolakha, Sindhupalchok, Solu and Nuwakot
Nuwakot
Nuwakot is a village in Nuwakot district of central Nepal. It is the most central settlement in the entire country. Located just 75 km from Kathmandu, this historic town was once the capital of the Valley in the days before the unification of Nepal....

, with a goal of increasing the total tea production in Nepal.Nepal tea is mainly exported to India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...

, Pakistan
Pakistan
Pakistan , officially the Islamic Republic of Pakistan is a sovereign state in South Asia. It has a coastline along the Arabian Sea and the Gulf of Oman in the south and is bordered by Afghanistan and Iran in the west, India in the east and China in the far northeast. In the north, Tajikistan...

, Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...

, France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...

, Holland, Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...

, Belgium
Belgium
Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...

 and the United States of America.

Himalayan Orthodox Tea Producers Association (HOTPA), the association of orthodox tea producers of Nepal, realizing the potential of the Nepalese orthodox tea in the global market, has been adopting various measures to improve the quality and marketing of orthodox tea. In 2003, Himalayan Tea Producers Co-operative Limited (HIMCOOP), the marketing wing of the Himalayan Orthodox Tea Producers Association (HOTPA), was set up to assist in the marketing of Nepal tea. Similarly, in 2006, the Himalayan Orthodox Tea Producers Association (HOTPA) implemented the Code of Conduct. The main objective of the Code of Conduct was to increase the standards of Nepalese orthodox tea to an international level. The main principles of the Code of Conduct are:-
  1. Respect towards nature
  2. Respect towards human
  3. Respect towards production system
  4. Respect towards towards quality

Orthodox tea producers

  • Shree Antu Tea Industry Private Limited
  • Mist Valley Tea Industry Private Limited
  • Guranse Tea Estate Private Limited
  • Gorkha Tea Estate Private Limited
  • Jun Chiyabari Tea Garden
  • Aishwarya Tea Estate Private Limited
  • Ilam Chiyabari Private Limited
  • Nepal Tea Development Corporation Limited
  • Himalayan Shangrila Tea Producers
  • Kanchenjunga Tea Estate
  • Mai Tea Private Limited
  • Kuwapani Tea Private Limited
  • Shree Antu Tea Industry Private Limited
  • Ilam Tea Producers Private Limited
  • Small Tea Industry Public Limited
  • Sakhejung Hill Range Tea Processing Industry Private Limited

CTC tea producers

  • Aroma Tea Estate Private Limited
  • Bajgain Tea Farming and Processing Private Limited
  • Bansal Tea Estate Private Limited
  • Budhakaran and Sons Company Private Limited
  • Buttabari Tea Processing Private Limited
  • Danfe Tea Processing Company Private Limited
  • Giri Bandhu Tea Estate Private Limited
  • Haldibari Tea Industries Private Limited
  • Himalayan Goodrick Private Limited
  • Kalika Estate Private Limited
  • Loknath & Sons Tea Estate Private Limited
  • Mittal Tea Estate Private Limited
  • Nakalbanda Tea Estate Private Limited
  • New Giri & Sons Tea Estate Private Limited
  • Raj Tea Estate Private Limited
  • Sattighatta Tea Estate Private Limited

External links

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