China

Several of China’s principal tea-producing regions have been hard hit by poor rainfall or lingering cold snaps, and production is this year is liely to suffer as a result.

Hangzhou, home of Dragon Well (Long Jing) green tea, experienced its coldest spring for 10 years, and up to 30% of the tea gardens in the West Lake area were affected. Pickinig was delayed, and farmers are expecting to see significant loss of production. Some varietals, such as No. 43, are expected to see a 20% drop from normal output, driving the prices up.

A late frost and cold rain damaged tea shoots in parts of Jiangsu province, and early predictions are that up to 50% of the cop may lost, Prices have already increased by 25% and could rise further.

The southwestern province of Yunnan meanwhile has experienced its worst drought in 50 years or more, driving prices up for puerh tea as supplies are threatened.

"Spring tea production in Yunnan is down more than 50%, according to Zhang Cheng of Yunnan Tea Garden Group. "266,000 hectares have been affected, and about 14,000 hectares have completely dried up."

A cold snap affected black tea production in Northern Fujian, prices have already gained up to 30% on the wholesale market.

On the plus side, Southern Fujian’s Tie Guan Yin (Iron Goddess of Mercy) oolong tea spring crop could be the best seen for five years. Production, which typically reaches 10,000 tons, may end up as high as 20,000 tons.