Thai Nguyen tea strives to access global market

Specialty tea grown in the northern province of Thai Nguyen has obtained collective trademark protection in the US, mainland China, Taiwan (China) and Russia, setting the scene for the product to gain a stronger foothold in the global market.
Thai Nguyen tea strives to access global market ảnh 1Harvesting tea. (Photo: VNA)
Thai Nguyen (VNA) – Specialty teagrown in the northern province of Thai Nguyen has obtained collective trademarkprotection in the US, mainland China, Taiwan (China) and Russia, setting thescene for the product to gain a stronger foothold in the global market.

Thai Nguyen, located 75 km to the north ofHanoi, is home to the country’s largest tea growing area. The province is well-known for itsgreen, aromatic and black teas. Tea plants have been grown in Thai Nguyen foraround 100 years.

Currently, there are more than22,600 hectares of tea cultivation in Thai Nguyen, with an average output of over 244,500 tonnes of fresh tealeaves each year. More than 80 percent of the local tea area is grown under VietGAP standards.

Last year, its tea production reached 5.58trillion VND (242.3 million USD), accounting for 44.3 percent of the localagricultural value. The province earned around 270 million VND per hectare oftea in average.

Its tea products are largely consumeddomestically, with just about 20 percent exported, mainly to China’s Taiwan,mainland China, Pakistan, Russia, the US, the UK, Afghanistan and Indonesia.

In the domestic market, local tea fetches120,000 VND – 450,000 VND (5.2 – 19.56 USD per kg, some premium products can beeven sold at up to 3 million VND (130.3 USD) per kg. Export prices, meanwhile, mainlyrange around 1.7 – 2 USD per kg as a majority of shipments are raw materials.

According to the Thai Nguyen TeaAssociation, the province exported more than 700 tonnes of dried bud tea inthe first five months of 2021, and shipments of premium green tea products todemanding markets like Poland, Germany, the US and Japan are on a rise.

Thai Nguyen-branded tea has been favouredby domestic consumers for its unique aroma, said Nguyen Thi Nga, Chairman ofthe Thai Nguyen Tea Association, local producers have paid more attention ondeveloping more attractive packaging designs and creating a wider range ofproducts, from low-end to high-end. They should not be content with thedomestic market only but target more foreign markets.

Export potential remains large for ThaiNguyen tea since there are increasing specialised areas for high-quality teafarming, Nga said, adding that the province has also adopted various policiesto support growers and facilitate the growth of tea industry, in terms ofinput, trade promotion, market development, branding and others.

The association is developing a project forapplying Blockchain technology in the management of Thai Nguyen tea productionand origin traceability, she noted.

Duong Van Luong, Chairman of the provincialPeople’s Committee, said Thai Nguyen is accelerating use of informationtechnology and digital transformation in agriculture, particularly teacultivation and processing. It also hopes to lure more investment, from bothdomestic and foreign sources, into the industry in an effort to bring morehigh-quality and a wider range of products to the global market, he noted./.
VNA

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