A ceremonial distribution of benefits to tea gardens under ATISIS was held on March 9. During the current financial year, 486 tea gardens have received benefits amounting to Rs 94.70 crore, according to a statement issued by the state government in Guwahati.

The government said the scheme includes four components: interest subvention of 3 per cent per annum on working capital loans; a subsidy of Rs 10 per kg on orthodox or speciality tea production; a subsidy of 25 per cent of the cost of plant and machinery for orthodox and speciality tea units; and an agricultural income tax holiday up to FY 2026-27.

Support for Assam tea industry

The state government said the scheme aims to promote orthodox and speciality tea while ensuring long-term financial stability for the tea industry.

Assam tea, with a history of about 200 years, remains a major contributor to the state's economy.

Export disruptions

Tea exports from India have been affected due to disruptions in shipping routes through the Strait of Hormuz.

The Tea Association of India said the strait has long been a critical passage for Indian exports, particularly tea shipments to countries in the Persian Gulf. Indian exports to Iraq, Iran, Kuwait, Saudi Arabia, Bahrain, Qatar and the United Arab Emirates pass through this route.

The association said the region has become increasingly important for Indian tea exports in recent years. Collective exports to the United Arab Emirates, Iran and Iraq reached 115 million kg in 2025.

Chief minister Himanta Biswa Sarma recently said exports of Assam tea increased by 40 million kg in the 2025-26 fiscal. The state government has also decided to raise the incentive for orthodox tea from Rs 10 to Rs 15 per kg.

Calling the improved production and export a strong turnaround after about 25 years, Sarma said the state produced 50 million kg of tea, of which about 50 per cent is orthodox tea.