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AN EMPIRICALANALYSIS OF TEA PRODUCTION AND PRICE IN SOUTH INDIA

Keywords: Tea Production , Price , Fluctuation , Time Series Analysis

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Abstract:

The ancient Chinese society first encountered the tea plants,the British introduced tea to India, in order to compete with the Chinese monopoly on tea. India is the world's largest tea drinking nation and the second largest producer of tea, Indian tea production during the year 2011 was 988.3 M.Kgs compared to 966.4 M.Kgs in 2010, an increase of 21.9 M.Kgs. In 2011, India contributes the share of 23.4 percent in the world tea production. Time Series Analysis is used to compute the tea production and price. The domestic tea production during 2010 was lower by 12.6 M.Kgs and was placed at 966.4 M.Kgs. The south India production was estimated at 243.4 M.Kgs and the price of the year was Rs. 76.69 per Kgs.

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