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COUNTRIES VISITED
1) UK and Europe
My study within the UK was to look at the marketplace.
There is no tea futures market. London’s auction once
traded most of the world’s tea production but closed
in 1998.
On average British people drink just over 3 cups of
tea a day. 70% of the population drink tea on a regular
basis. Per capita consumption across the globe is as
follows:
|
Country |
Kg consumed
p.a |
|
Ireland |
3.0 |
|
UK
|
2.5 |
|
Turkey
|
2.1 |
|
Iran
|
1.5 |
|
New Zealand |
1.1 |
|
Australia |
0.9 |
|
India
|
0.7 |
|
USA |
0.3 |
|
Country
|
£ per kg
retail value |
|
Germany |
9 |
|
Japan
|
8 |
|
France |
8 |
|
UK |
7.4 |
|
USA |
6.2 |
|
India |
2.8 |
|
China |
2.0 |
Wholesale
tea prices worldwide have risen by a compound annual
growth rate of approximately 8-10% over the past 10
years. Although tea generally is not stored from year
to year, production in one year has an impact on prices
in the subsequent year due to end of year inventory
holdings. For example, although in 1994 global production
of tea declined, prices fell on account of the high
production in 1993 and the consequently high opening
inventories. Similarly, the full impact of the record-setting
crop in 1998 was felt in late 1998 and early 1999.
The world’s leading tea companies include:
Unilever (parent company of Lipton, Hindustan Lever,
Van den Bergh Food Services and Brooke
Bond)
Tetley Tea
James Finlay
Nestle S.A.
Associated British Foods plc
MJF Holdings (Dilmah)
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