Plantation Minister in Russia in major tea promotion drive

Plantation Industries Minister Navin Dissanayake is currently in Russia to launch a major tea promotion campaign in the Soviet States.

The Minister also held discussions with Russia’s Agriculture Minister Alexander Tkachev on getting greater access for Ceylon tea into the Russian market.

Minister said that Russia is the highest tea during nation in the world consuming over 175 million kgs per year. They also prefer black tea and also to consume loose tea (tea bags).

He said that at the start of 2016 Sri Lanka was the largest tea seller to Russia but with the depreciation of the Ruble India managed to supply tea at a lower price and became the number one country.

“My visit was aimed at once again re launching the Sri Lanka tea brand and once again recapture the market leader position in Russia. Over 10 Sri Lankan tea exporters including Dilmah, Impra and also small time exporters participated in Prodexpo Russia Fair to promote Sri Lanka tea. Minister Dissanayake during his visit met several key members of the Russian government and also thanked them for once again buying Sri Lankan fish after the EU fish ban was lifted.

Russia is among the global leaders in terms of tea consumption. According to KPMG analysts, an average Russian drinks more than 3.5 cups of tea daily.However Sri Lankan tea exports to Russia and other former Soviet states have fallen sharply in recent years, according to Asia Siyaka Commodities.“Sri Lanka exported 16.9 million kilos in the first quarter of 2014 to this cluster and 17.5 million kilos in 2013 and in 2012 18.6 million kilos. This is a loss of 27% in four years,” they said in their report.

Export quantities to these countries improved marginally to 13.5 million kilos in the first quarter of 2016 from 13.1 million kilos the year before. Tea exports in the first quarter of 2016 rose to 74.4 million kilos from73.2 million kilos in January – March 2015.