Sri Lanka Tea Board to set up 70 new nurseries - Opportunity Sri Lanka
Sri Lanka Tea Board to set up 70 new nurseries

Sri Lanka Tea Board to set up 70 new nurseries

The Morning: The Sri Lanka Tea Board (SLTB) is to invest in 70 new tea nurseries to support accelerated tea bush replanting efforts, as it targets increasing annual tea production to 400 million kg by 2030. 

Speaking to The Morning Business, SLTB Tea Commissioner Mahesh Jayawardena said that the board was prioritising accelerating tea bush replanting efforts as it sought to boost national tea production.

He said that replanting had long been an ongoing process in the tea industry, with the SLTB providing fertiliser subsidies since the 1980s. However, he explained that the SLTB had now stepped up the replanting programme, with particular focus on abandoned tea estates.

Jayawardena further stated that tea estates had been abandoned for a range of reasons, including volatile weather patterns, labour shortages, soil deterioration, and ageing tea bushes. 

He said that the SLTB would look to replant these abandoned tea estates. However, he acknowledged that it would not be possible to replant in these estates in some instances, in which cases the land could be utilised for alternative agricultural purposes. 

Accordingly, he revealed that the SLTB was presently working to identify the exact abandoned tea estates that could be used for the replanting efforts.

As part of the accelerated tea bush replanting programme, Jayawardena said that the SLTB was investing in 70 new tea nurseries to support the replanting drive. The Tea Small Holdings Development Authority (TSHDA) has also commenced a similar investment programme, although Jayawardena said he was unaware of its specifics.

Highlighting the importance of the drive, he said: “We know that our annual tea production has declined from around 340 million kg to approximately 250 million kg. However, production is now picking up with the re-application of fertiliser, for which we have provided subsidies.”

The SLTB has also introduced various initiatives, including subsidies for irrigation, mechanisation, and tea infilling as part of efforts to meet production goals. 

Jayawardena said that the SLTB’s target was to achieve an annual production of 400 million kg, with 2030 set as the tentative target year. 

He identified replanting as being the primary factor that would assist in achieving this production target.

OSL take:

Sri Lanka’s drive to revive tea production and raise annual output to 400 million kg by 2030 is creating new business/investment opportunities for foreign businesses and investors across the tea value chain. The Sri Lanka Tea Board’s investment in 70 new tea nurseries and its accelerated replanting programme could support opportunities in tea cultivation, nursery development, processing technology, machinery, packaging and agricultural inputs. Efforts to bring abandoned estates back into production could further expand the sector’s investment potential. Beyond cultivation, Sri Lanka’s established position as a global tea exporter provides opportunities for international companies to invest in value-added tea products, branding, specialty teas, logistics and export distribution. Foreign investors could also explore partnerships with local producers to introduce modern cultivation and processing technologies, improve productivity and develop higher-value products for international markets. As Sri Lanka seeks to rebuild production while strengthening the value and competitiveness of its tea exports, the sector offers opportunities extending well beyond traditional tea cultivation into a broader export-oriented agribusiness ecosystem.

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Article Code : VBS/AT/20261002Z_1

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