Strait of Hormuz Tensions Pose Risks to India's Tea Exports to Gulf Markets

Tensions in the Strait of Hormuz amid Middle East conflicts threaten India's tea exports, particularly Assam's orthodox tea, which relies heavily on Gulf markets like Iran, Iraq, and the UAE. Approximately 41% of India's 280 million kg tea exports pass through this strategic route. Despite assurances from the US on keeping the strait open and insurance coverage, ongoing instability risks disrupting trade and undermining recent export growth and subsidy increases aimed at boosting Assam orthodox tea.