Tea Board of India notified regarding the compliance requirement for Tea Manufacturers to Sell Minimum 50% Production through Public Tea Auctions

Mar 06, 2026 | by TeamLease RegTech Legal Research Team

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Industry Specific ComplianceThe Tea Board of India on February 27, 2026, notified regarding the compliance requirement for Tea Manufacturers to Sell Minimum 50% Production through Public Tea Auctions.

The following has been stated:

• The Tea Board has reminded registered tea manufacturers of the requirement under Clause 21(1) of the Tea (Marketing) Control Order, 2003, as amended by the Central Government notification dated October 01, 2015, which mandates that at least 50% of the total tea produced in a calendar year shall be sold through public tea auctions in India conducted by licensed auction organizers. 

• An analysis of auction participation for 2024 and 2025 (up to August 2025) found that several manufacturers had not offered any tea for auction, leading to the issuance of show-cause notices and personal hearings. Some manufacturers cited a lack of awareness of the requirement; therefore, the Tea Board has directed industry associations to inform their members about this provision and warned that non-compliance with the mandatory auction participation requirement will be treated seriously by the Registering Authority.

[Notification no. - LC-MISCOAUC/1/2024-Licensing/3925]


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