May 7, 2006	Sunday	Rabi-us-Sani 8, 1427

KARACHI, May 6: Pakistani traders are eyeing import of 10-15 million kg of Indian tea this year as compared to 9.3 million kg in 2005 after exchanging healthy negotiations with Indian traders during their recent visit to the neighbouring country.

A 14-member delegation of Pakistan Tea Association (PTA) met tea producers, blenders, exporters etc., in New Delhi, Kolkata, South Indian states of Coimbatore and Coonoor and Mumbai during April 15-23 to foster tea trade between the two countries.

The exercise of frequent interaction between tea traders of both the countries had been going on for the last 10 years but its results had started coming out in the shape of rising imports of Indian tea since Kenyan tea prices had surged sharply.

However, Pakistan’s 65 per cent tea imports come from Kenya where tea production has been facing problems due to a severe drought.

“We have not stricken any deal with Indian counterparts but Kenyan factor may be forcing importers to capitalise more on Indian tea,” Chairman PTA Muhammad Altaf, who led the delegation to India, told Dawn on Saturday.

All eyes are set on the Kenyan tea production recovery reports, he said, adding that May and June were important for Kenyan tea buyers regarding the recovery in Kenya tea production. During January to March this year, Kenyan tea production had remained short of 40 million kg compared to the same period of last year.

He said that tea imports from India were only 3.37 million kg in 2003. “Frequent exchange of trade delegations is now bearing fruits besides the ongoing composite dialogues between the two countries have been further paving way for enhanced trade,” he said.

A tea delegation comprising officials of Indian Tea Association, Indian Tea Board, etc., is expected to visit Pakistan in July this year, he added.

Pakistan usually buys tea from South Indian states for blending purpose as its rate is tagged at $1 per kg (C&F Karachi). The real quality tea hails from North Indian state of Assam whose price ranges $2 to $2.5 per kg. Assam is the only substitute of Kenyan tea but its price is too high. Pakistan imports tea from 19 countries.