What would it take to transition rural Chinese farmers from producing green tea to black tea? The leaves are the same, they only need to alter the process of manufacturing the leaves.
They would only need to add some machinery and learn the new process, but the primary question is one of buyers. To whom would they sell? Could a rural cooperation of tea farmers sell direct to buyers around the world?
The two main factors holding back development of rural China tea producers from exporting their tea are ignorance of what buyers want and a lack of financial resources to set up suitable manufacturing facilities. Both can be fixed, and I am thinking through the possibilities of such a project.
Finding what buyers want it easy enough. Proving that you can produce what they want is another matter. They will want samples, of course, and somebody is going to have to invest in the facilities and training to produce black tea in order to provide even initial samples, much less sustain business at a loss until buyers actually start buying the product.
Once the buyers are established, business is rolling and the worst is behind. The trick to every business is the start up, establishing a customer base. The tea is already growing on China's hillsides and buyers are always looking for a better deal. Can a new solution be found that is mutually beneficial, providing cheaper tea to the buyer and a better selling price to the Chinese tea farmer?
The West is becoming increasingly concerned with the health benefits of green tea. It would be better to capitalise on this and pitch a premium product than invest vast amounts of money to compete with Indian/African tea plantations in the black tea market.
Posted by: Hazel Tan | 7 Dec 2006 at 01:47
That is certainly an option. From one perspective, it seems helping them produce black tea, which is far and away the most drunk type of tea in Europe and America, would make the most sense. Of course, on the other side, providing quality green tea to a niche market might be a better idea. Exporting green tea is a better idea especially when you consider how close they are to doing so already.
Again, it is a matter of buyers. Is the market strong enough to support yes another Chinese green tea producer?
Posted by: Cooper Strange | 7 Dec 2006 at 12:01