Tea production in the north reaches all-time high

Tea production in five northern districts reached a record high in 2025, accounting for about 21 percent of the country’s total output.

In the recently concluded season, the country produced around 94.9 million kilogrammes of tea.

Of that, more than 20 million kilogrammes came from Panchagarh, Thakurgaon, Dinajpur, Nilphamari and Lalmonirhat, according to the Bangladesh Tea Board.

Output was not the only plus side. The average auction price of processed tea also rose, reflecting improvements in quality from the plains.

The rise in auction prices also pushed up the value of raw tea leaves, giving farmers a better return.

Growers say that if this momentum continues, tea cultivation in the region could expand further.

According to the Bangladesh Tea Board, the region produced 20.24 million kilogrammes of processed tea last year. This exceeded the official target by 1.52 million kilogrammes and marked the highest output since tea cultivation began there in 2000.

The previous record was set in 2023, when production reached 17.95 million kilogrammes and accounted for 17 percent of the national total.

Currently, the five northern districts have 12 registered and 18 unregistered large tea gardens, each covering more than 25 acres. There are also 2,225 registered and 6,146 unregistered small gardens with less than 25 acres each.

The cultivation area in 2025 expanded by more than 73 acres year-on-year.

Of the total area, 9,819.73 acres lie in Panchagarh, 1,457 acres in Thakurgaon, 124.82 acres in Lalmonirhat, 130 acres in Dinajpur and 67.92 acres in Nilphamari.

RECOVERING FROM A DECLINE

The area under tea cultivation has fluctuated in recent years. Tea gardens covered 12,132 acres in 2023 but fell to 11,527 acres in 2024 after growers suffered losses due to low prices for raw leaves. Many farmers, unable to bear the losses, uprooted their tea bushes.

The situation improved in 2025. Cultivation expanded again to around 11,600 acres after the tea board took steps to restore confidence among growers in the crop.

Officials began investigating the earlier decline and found several costly practices. Many growers were applying fertiliser seven or eight times a season instead of the recommended maximum of three. Some factories were also using excessive electricity because of inefficient processing.

These practices drove up production costs for both farmers and factory owners.

Growers were advised to follow proper fertiliser schedules and prune tea bushes regularly, as leaves older than four years reduce the production of fresh shoots.

At the factory level, officials also found that some processors had been skipping the withering stage. This forced machines to run for 17 to 18 hours a day.

After factories resumed proper withering, the same volume of tea could be processed in seven to eight hours, cutting costs and improving quality, officials said.

CONFIDENCE RETURNS WITH HIGHER PRICES

Amir Hossain, an official at the Tea Board regional office in Panchagarh, said tea from the district fetched an average auction price of Tk 242 per kilogramme in 2025, up from Tk 162 in 2024.

Raw leaf prices also climbed. In 2024, the district tea leaf price fixation committee set the rate at Tk 18 per kilogramme, but it later dropped to between Tk 8 and Tk 10 during the year.

In 2025, although the official price remained Tk 18, growers were able to sell leaves for as much as Tk 38 per kilogramme as demand strengthened.

Encouraged by higher auction prices and lower production costs, factory owners raised the purchase rate for raw leaves. This helped restore growers’ confidence in tea cultivation.

To support the growing industry, the country’s third tea auction centre opened in Panchagarh in September 2023, operating on an online platform. So far, 52 tea processing factories have received approval, including 30 in Panchagarh and one in Thakurgaon.

Humayun Khaled, a small grower from Roseya village at Atwari upazila of Panchagarh, cultivates tea on 1.5 acres. He said he earned a profit of Tk 2 lakh in the season that has just ended after suffering losses for three consecutive years.

“Interestingly, I did not take proper care of the field out of frustration. Now that the sector is showing signs of recovery, I will nurture the plants properly and hope the same plot will bring a profit of around Tk 4-5 lakh a year,” he said.