Nepali Food Store

From Misty Hills to Global Cups: The Story of Nepali Tea

Nestled in the lap of the Himalayas, Nepal, a land renowned for its towering peaks and rich cultural tapestry, also cultivates a treasure that often goes unnoticed: exquisite tea. While overshadowed by its giant neighbor India, Nepali tea boasts a unique terroir, distinct flavors, and a burgeoning presence in both local and global markets.¹ This aromatic brew is not just a beverage; it’s intertwined with Nepal’s landscape, economy, and evolving social fabric.²

Where the Leaves Flourish: Tea Growing Regions in Nepal

Tea cultivation in Nepal is primarily concentrated in the eastern hilly regions, mirroring the Darjeeling district of India, which shares similar climatic conditions and altitudes.³ The major tea-growing areas include:

• Ilam: Often considered the “Tea Capital of Nepal,” Ilam boasts the oldest tea estates and produces a significant volume of high-quality orthodox tea, known for its delicate flavor and aroma.⁴
• Dhankuta: Adjacent to Ilam, Dhankuta also has a thriving tea industry, contributing significantly to Nepal’s tea production.⁵
• Panchthar: Another key eastern district with expanding tea cultivation, focusing on both orthodox and CTC (Crush, Tear, Curl) varieties.⁶
• Terhathum: A smaller but growing tea-producing region, known for its organic practices.⁷
• Other emerging regions: Limited tea cultivation is also found in districts like Jhapa (primarily CTC for the domestic market), Taplejung, and even some pockets in the mid-hills.

The elevation, ranging from 800 to over 2,200 meters above sea level, along with the cool climate, ample rainfall, and well-drained acidic soil, provide ideal conditions for growing premium tea.

A Spectrum of Flavors: Popular Tea Varieties

Nepali tea cultivation encompasses a diverse range of varieties, catering to different palates and market demands:⁸

• Orthodox Tea: This is the hallmark of Nepali tea, especially from the high-elevation estates.⁹ It’s processed using traditional methods – withering, rolling, oxidation, and drying – preserving the whole leaf structure.¹⁰ Orthodox teas are prized for their nuanced flavors, delicate aromas, and multiple infusions.¹¹ Within orthodox, you’ll find:
  • First Flush: The first harvest of the season (spring), known for its light, floral, and fresh character.¹²
  • Second Flush: Harvested in late spring/early summer, often more mature in flavor, with hints of fruitiness and a slightly stronger body.
  • Monsoon Flush: Harvested during the rainy season, typically bolder and sometimes more astringent.
  • Autumn Flush: The final harvest before winter, offering a mellow, smooth, and often sweet character.
• CTC (Crush, Tear, Curl) Tea: This method processes tea leaves into small, uniform pellets, resulting in a strong, quickly brewing tea with a robust color.¹³ CTC tea is primarily aimed at the domestic market and is often blended with milk and sugar.
• Green Tea: Cultivated and processed to prevent oxidation, Nepali green tea retains its fresh, grassy, and sometimes slightly vegetal notes.¹⁴ It’s gaining popularity both locally and internationally for its health benefits and delicate flavor.
• White Tea: The least processed type, made from young buds and unopened leaves, resulting in a very delicate, subtly sweet flavor with floral undertones.¹⁵ Nepali white tea is often a premium offering.
• Oolong Tea: Some Nepali estates are also experimenting with oolong tea production, falling between green and black tea in terms of oxidation, offering a complex range of flavors depending on the processing techniques.
• Herbal Infusions: While not technically tea, infusions made from local herbs like ginger (aduwa), cardamom (alaichi), mint (pudina), and lemongrass (gandhe jhar) are widely consumed in Nepal for their flavor and medicinal properties.

A Growing Market: Tea Size Locally and Globally

Local Market: Tea is deeply ingrained in Nepali culture, and the domestic market is substantial.¹⁶ Almost every household consumes tea daily, primarily the CTC variety brewed with milk and sugar (Chiya). The local tea market is characterized by:

• High Consumption: Tea is the most popular beverage after water.
• Dominance of CTC: CTC tea holds the largest share of the domestic market due to its affordability and strong brew.
• Growing Preference for Orthodox and Specialty Teas: As incomes rise and awareness increases, there’s a growing trend towards higher-quality orthodox, green, and white teas, especially in urban areas and among health-conscious consumers.
• Numerous Local Brands: Several Nepali tea brands cater to the domestic market, packaging and distributing various tea types.
• Teahouses and Street Vendors: “Chiya Pasal” (teashops) are ubiquitous, serving affordable and readily available tea throughout the country.¹⁷

Global Market: Nepali tea has been steadily gaining recognition in the international market, particularly for its premium orthodox varieties.¹⁸ The global market for Nepali tea is characterized by:

• Niche but Growing: Compared to major tea producers like India and China, Nepal’s global tea market share is still relatively small. However, it’s experiencing consistent growth, driven by the quality of its orthodox teas.
• Demand for Organic and Fair Trade: Many Nepali tea estates are embracing organic and fair-trade practices, which are highly valued in international markets, particularly in Europe and North America.¹⁹
• Competition with Darjeeling: Nepali orthodox tea often competes directly with Darjeeling tea due to similar terroir and flavor profiles.²⁰ However, Nepali tea is often priced more competitively.
• Direct Exports: Increasingly, Nepali tea estates are focusing on direct exports to bypass intermediaries and build stronger relationships with international buyers.
• Emerging Markets: Besides traditional markets, Nepali tea is also finding its way into new and emerging tea-consuming countries.

Market Size Estimates (June 2025, approximate):

• Local Market: The domestic Nepali tea market is estimated to be worth several billion Nepali Rupees annually, with CTC tea accounting for the majority. While precise figures are challenging to obtain due to informal sales, the consumption volume is substantial.
• Global Market: Nepal’s tea exports are estimated to be in the range of a few thousand metric tons annually, with a value of several million US dollars. This figure is steadily increasing as production and international demand grow.

Brewing Revenue: Contribution of Tea to the Economy

The tea industry plays a significant role in the Nepali economy, particularly in the eastern hills:²¹

• Employment Generation: Tea cultivation, processing, and related industries provide employment to a large number of people, especially in rural areas, contributing to livelihoods and reducing poverty.²²
• Foreign Exchange Earnings: Tea exports are a source of valuable foreign currency for Nepal, helping to improve its trade balance.²³
• Agricultural Diversification: Tea cultivation offers an alternative to traditional crops, contributing to agricultural diversification and sustainable land use in the hilly regions.
• Regional Development: The tea industry supports infrastructure development and economic activities in tea-growing areas.²⁴
• Government Revenue: The government earns revenue through taxes and levies on tea production and trade.

While the exact percentage contribution of tea to Nepal’s overall GDP may be relatively small compared to larger sectors like tourism or remittances, its regional economic impact in the eastern hills is considerable and crucial for the well-being of local communities.

Steeping Through Time: Evolution of Tea Culture in Nepal

The history of tea in Nepal is relatively recent compared to its origins in China and India. Key milestones in its evolution include:

• Introduction: Tea cultivation was officially introduced to Nepal in the mid-19th century by the then Crown Prince during a visit to Darjeeling, who brought back tea saplings and established the first tea estate in Ilam.
• Early Growth: For many years, tea cultivation remained limited, primarily focused on a few government-owned estates.
• Private Sector Involvement: The liberalization of the Nepali economy in the late 20th century saw increased private sector investment in tea cultivation and processing, leading to significant expansion.
• Orthodox Tea Focus: Unlike India’s initial focus on CTC, Nepal’s tea industry largely emphasized the production of high-quality orthodox tea, leveraging its similar terroir to Darjeeling.
• Rise of Small Farmers: Over time, small-scale tea farmers have become a significant part of the industry, often organized into cooperatives and supplying leaves to larger processing factories.²⁵
• Organic and Fair Trade Movement: A growing awareness of environmental sustainability and ethical practices has led to a significant movement towards organic and fair-trade certification among Nepali tea estates.²⁶
• Domestic Consumption Growth: While traditionally a milk-tea drinking nation with CTC, urban areas are witnessing a rise in the appreciation and consumption of various types of pure teas (black, green, white, oolong) without milk and sugar, reflecting a more discerning palate.
• Emergence of Tea Tourism: Some tea estates are beginning to explore tea tourism, offering visitors a chance to experience tea cultivation, processing, and tasting firsthand.²⁷

Brewing Innovation: Popular Tea Recipes

While the simple “Chiya” (CTC tea with milk and sugar) remains the most popular, Nepali tea culture also embraces other delightful preparations:

• Masala Chiya (मसाला चिया): Black tea brewed with milk and a blend of aromatic spices like cardamom, cinnamon, cloves, ginger, and black pepper.²⁸ This is a comforting and flavorful variation enjoyed throughout Nepal.
• Aduwa Chiya (अदुवा चिया) – Ginger Tea: Black tea brewed with fresh ginger, often with milk and sugar, known for its warming and digestive properties.
• Elaichi Chiya (इलाइची चिया) – Cardamom Tea: Black tea infused with the sweet and aromatic flavor of cardamom, usually brewed with milk and sugar.
• Tulsi Chiya (तुलसी चिया) – Holy Basil Tea: An herbal infusion made from the leaves of the holy basil plant, often consumed for its health benefits and calming properties, typically without milk.
• Lemon Honey Ginger Tea: A popular and refreshing infusion made with hot water, fresh ginger juice, lemon juice, and honey, often enjoyed as a remedy for colds or a soothing beverage.
• Black Tea (Kalo Chiya – कालो चिया): Increasingly, people are appreciating the pure flavors of good quality orthodox black tea brewed without milk or sugar, allowing the natural nuances of the tea to shine through.²⁹

A Cultivated Comfort: Popularity of Tea Culture

Tea culture is deeply ingrained in the social fabric of Nepal:

• Ubiquitous Beverage: Tea is consumed multiple times a day, from the first cup in the morning to a relaxing brew in the evening.³⁰
• Social Ritual: Sharing a cup of tea is a common gesture of hospitality and friendship.³¹ “Chiya Pasal” serve as important social hubs where people gather to chat, conduct business, and relax.³²
• Part of Daily Routine: The act of preparing and drinking tea is a comforting daily ritual for most Nepalis.
• Adapting to Modern Tastes: While traditional milk tea remains dominant, there’s a growing appreciation for diverse tea types and brewing methods, especially among younger generations and in urban areas.³³ Cafes are now offering a wider range of tea preparations, reflecting evolving tastes.
• Symbol of Nepali Terroir: As Nepali orthodox tea gains international recognition, it’s becoming a symbol of Nepal’s unique natural resources and agricultural potential.

In conclusion, Nepali tea is a story of tradition meeting modernity, of a humble leaf contributing significantly to livelihoods and the economy, and of a cultural beverage deeply woven into the fabric of Nepali society.³⁴ From the misty hills where it’s grown to the cups enjoyed locally and across the globe, Nepali tea offers a distinct and flavorful taste of the Himalayas, with a future brimming with potential.