Mahen Seeruttun: “Tea supply will stabilise by end-December”

Mauritians are known to be big consumers of tea. In fact, any time is tea time here – be it while calling at friends, at the office or when visiting public places. Thus it is to be understood that when there is shortage of this precious condiment on the market, there is a stir in the crowd. News on Sunday sought the views of Minister of Agro-Industry, Mr Mahen Seeruttun, on the matter.

What is the main reason for the shortage of tea on the market?

The current crop season has witnessed a shortage in green leaf production due to adverse climatic conditions and has been marked by a prolonged winter season. Production of made tea amounted to 1,413 Tonnes in 2015/2016 compared to 1,437 Tonnes in 2014/2015 and 1,525 Tonnes in 2013/2014. However at the end of the crop year, i.e., June 2016, stocks stood at a low 1.5 months as compared to 3.5 months for the previous year. Outturn for crop year 2015/2016 was 17.95% compared to 19.0% for 2014/2015.

Is this shortage of tea due to the promotion of iced-tea on the market?

No. Iced tea is mostly considered as a soft drink and Mauritians will not substitute tea (hot drink) with bottled tea. Most of the bottled tea or iced tea contain imported tea concentrates.

What are the measures taken by the ministry to meet the demand of tea by consumers?

For the short term we have taken the following decisions: import of tea for blending purposes has been allowed to the three tea manufacturers namely Bois Cheri, Corson and La Chartreuse. The supply of fertiliser free of charge to tea growers so as to boost up green leaf production, the supply of tea plucking shears for mechanical harvesting and we are also establishing a new tea nursery at La Brasserie.  In the long term, some 600 arpents will be put under tea cultivation for planters willing to engage themselves on a full time basis.

How far the appeal made to the youth to get involved in tea production met with a positive response?

The younger generation is not much interested in tea cultivation.  However the following measures may provide incentives for youth in tea production: An increase in the present wage rate; Allocation of an acreage of 0.84 hectares or above to potential growers and; Mechanical harvesting of tea.

When do you think the tea market will be stabilised in Mauritius?

I think that following all measures taken the supply of tea on the domestic market should become stable by the end December 2016.

Industry snapshot: Tea exports are minimal

Replying to a question of opposition MP Mr Osman Mahomed in Parliament at the end of November, the Minister of Agro-Industry, Mr Mahen Seeruttun, explained that tea exports are minimal and represent only a small fraction of the country's production. The opposition MP wanted to know whether the shortage of the population's favourite brew was due to hoarding or sale on the black market. To these, Minister Seeruttun replied that there was no conclusive evidence that such was the case and put the shortage down to a bad year in terms of yield due to adverse climatic conditions.

The annual production of black tea is around 1,500 tons and out of that amount, only 43, 428 kilos were exported over the period 1st January to 8 November 2016.  According to records of the National Agricultural Products Regulatory Office, around 1,157 kg from the total production was exported. Some of the export destinations are: the United Kingdom (288 kg), France (706 kg), China (66 kg), Australia (36 kg), Comoros (55 kg) and Luxembourg (6 kg).

Local tea companies Bois Cheri and Corson have sold around 42,271 kg of their production to the Mauritius Duty Free Paradise and freeport companies for eventual export to Reunion Island, France and Germany.

As regards the alleged sale of “loose” local tea on the black market, the National Agricultural Products Regulatory Office claims that no report to that effect has been received nor any complaint made by the public. 

Mahen Seeruttun also informed the House that the shortage of black tea, mostly in 250g and 500g packages, is due to a shortfall in production because of the long winter, coupled with heavy rainfall received at the beginning of the year. There is no shortage when it comes to tea bags. At the end of June 2016, existing stocks stood at 1.5 month of consumption compared to 3.5 months for the previous year. 

In order to make up for this shortage, the three tea manufacturers have been allowed to import black tea for blending purposes. The quantity of black tea imported during the past three years is as follows:

2014: 20 tonnes

2015: 85 tonnes

2016: 130 tonnes (up to October 2016)

Furthermore, reduced amounts along the distribution chain, together with higher than normal purchases by consumers, have also contributed to the shortage. The harvest season for this year having just started, Minister Seeruttun expressed his confidence that the production of green leaves will be much better than the previous year and the shortage problem will be resolved. 

In order to revamp tea production in Mauritius, the government has announced a series of measures during Budget 2016/17. These include: 

(i) the setting up of a new tea nursery at La Brasserie for the production of seedlings and saplings to be distributed free of charge to tea planters;

(ii) free distribution of fertilisers to tea planters;

(iii) distribution of pruning shears free of charge to tea planters;

(iv) nearly 600 arpents of land in the ex-tea belt have been identified for new tea plantations; and 

(v) reopening of the Dubreuil tea factory by a private promoter.

It is thought these measures will revamp the tea sector following years of neglect as yields went down compared to the price of land. Currently, tea is experiencing a renewed success across the world with many avenues for specialist teas as people shun sodas and adopt healthier lifestyles.