Tea is one of the most important agricultural as well as manufacturing produce, like other products it also needs a proper marketing channel for disposal.The marketing system of tea refers to the complex system of institutions and operations which intervene between the producer of tea on the one hand and ultimate consumer who drinks his cup of tea on the other. Among the alternative means of disposal, the producer chooses the channel which brings the best price to him within the purviews of Government regulations.The marketing channel in tea is the pathway of movement of tea through intermediaries from production in the garden to the hands of the ultimate consumers within or outside the country.
Tea is marketed and made available to the consumers in India in two different forms, viz., loose tea and package tea. Loose tea is not subject to any further major processing after it is purchased at auction. It is sold to the consumers either in the same condition or in blended form.It is generally not packed in convenient size before it is sold. In packet tea trade, on the other hand, tea undergoes further processing and different types of tea are blended and sold to the consumers in packets of convenient sizes.