Tea exports to Iran have long been one of the strongest pillars supporting Assam’s orthodox tea industry. For decades, Iranian buyers have preferred Assam’s bold, malty black tea, making Iran a high-value and repeat destination for Indian exporters.
However, as the new export season approaches, uncertainty has returned. Shipment disruptions, payment risks, geopolitical tensions, and fresh tariff fears have placed tea exports to Iran under pressure once again. This article explains how the trade evolved, why it dipped at different points, what Sri Lanka did differently, and what India can realistically do to stabilise and grow tea exports to Iran.
You may also like to read: How to Start Tea Export From India (Complete Guide 2026)
Iran is not just another export market.
For exporters in Assam, Iran has traditionally offered:
A slowdown in tea exports to Iran is often reflected quickly in orthodox auction prices, exporter liquidity, and grower payments.
related post: Assam black tea–The strongest tea of india
Tea exports to Iran have moved in cycles—shaped more by payment systems and geopolitics than by consumer demand.
During the mid-2010s, Indian tea exports to Iran grew steadily as Iranian consumers increased imports of strong black tea. Assam’s orthodox teas gained prominence, and exporter confidence improved.
Public trade datasets and industry summaries indicate that 2017 and 2018 were near-peak years, with India exporting roughly 29–31 million kg of tea annually to Iran. These years were marked by:
From 2019 onwards, exports dipped due to:
Even where demand existed, payment delays and uncertainty reduced shipment volumes.
As trade channels reopened, tea exports to Iran showed signs of recovery. In 2024, India’s tea exports to Iran were valued at approximately USD 40 million, with quantities again nearing 30 million kg according to trade summaries.
The latest disruption began in mid-2025:
This timing is critical, as it coincides with contract planning and auction buying for the new season.
Key highlights from public trade data (UN COMTRADE, CEIC, Tea Board summaries):
Important note: Iran’s trade reporting is irregular. The most authoritative raw source remains UN COMTRADE (HS 0902 – Tea) and Tea Board of India country-wise export tables, which exporters and analysts use for exact year-by-year figures.
The present uncertainty is happening just before the orthodox export season.
This affects:
For MSME exporters, even a short-term pause in tea exports to Iran can quickly strain cash flows.
Sri Lanka offers a practical lesson.
When sanctions and banking restrictions affected normal payments, Sri Lanka:
This allowed Sri Lankan exporters to continue shipping tea to Iran even when conventional banking channels were constrained.
Why it worked:
The arrangement was less about discounts and more about confidence and structure.
If tea exports to Iran are treated as a strategic trade corridor, not a high-risk spot market, stability can return.
Until policy clarity improves, exporters should act cautiously:
Preparation—not panic—is essential.
Tea exports to Iran are not structurally broken—they are financially and politically constrained.
The past 15 years show a clear pattern:
With structured payment solutions, long-term agreements, and exporter safeguards, India can once again make tea exports to Iran a stabilising force for Assam’s orthodox tea economy.
This article is for informational purposes only and does not constitute financial, legal, or trade advice.
This content was created with the assistance of AI and reviewed for accuracy, structure, and relevance for Indian MSMEs.
Business Zindagi Editorial Team focuses on Indian MSMEs, exports, policy impact, and practical business insights for entrepreneurs.
India → Iran tea export data
Tea Board & Indian export context
Recent disruptions & exporter concerns
Sri Lanka–Iran special arrangement
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