More than 200,000 kg of ready-made orthodox tea, which has reached the Indian market, is currently stuck in Indian warehouses with no outlet. On the other hand, millions of kg of ready-made tea are also stuck in Nepali industries after the export was stopped.
JHAPA:- Tea factories operating in Nepal’s Jhapa and Ilam have started closing down after India created obstacles to exports using various pretexts. 53 tea factories in Ilam have been closed since yesterday, while 30 factories in Jhapa are understood to be closed from tomorrow, Wednesday.
India has implemented a ‘Standard Operating Procedure’ (SOP) for tea imported from Nepal from May 1, 2026. According to this, each truckload of tea must be tested separately, the report will take more than 20 days to come, and it cannot be sold until the results are available. If the test fails, the tea must be destroyed or returned.
Suryodaya Orthodox Tea Producers Association Nepal has stated that India is encouraging the export of Nepali tea with this decision. Stating that Nepali tea cannot be exported if India follows the new rules imposed, the association had decided to close the tea factories in Ilam from Asad 1, (June 15, 2026).
Association General Secretary Gopal Kattel said that this crisis is very different and serious in nature from the previous technical obstacles. He said that while earlier vehicles would be stopped at customs points for a few days, now strict laws have been made to the extent of prohibiting the sale and destruction of tea that has already reached the market and warehouses, which has led to industrialists fleeing the business.
Similarly, the Nepal Tea Producers Association, which mainly produces CTC (granulated) tea in Jhapa, has also announced that it will shut down 30 tea factories, both large and small, and more than a dozen tea gardens in Jhapa for an indefinite period from Ashad 40. According to the association’s senior vice-president, Shiva Kumar Gupta, the industries and gardens will not be opened until India removes its non-tariff barriers.
More than 200,000 kg of ready-made orthodox tea, which has reached the Indian market, is currently stuck in Indian warehouses with no outlet. On the other hand, millions of kg of ready-made tea are also stuck in Nepali industries after the export was stopped, said Aditya Parajuli, president of the Nepal Tea Producers Association.
As tea industries have stopped production, the direct and biggest impact has been on small farmers and tea workers in rural areas. The livelihoods of 50,000 farmers and millions of workers directly involved in this sector are now at risk of being taken away.