India, recognized as the second largest tea producer in the world after China, is preparing to implement an artificial intelligent auction system (AI) aimed at increasing transparency and enhancing efficiency within the tea industry. The northeastern province of Asam, which leads the country in tea production, has taken the initiative to launch this advanced platform in partnership with the main stakeholders from the tea sector.
This next digital system is expected to reshape the traditional auction model by facilitating safe transactions and enhancing fair pricing structures. According to the official communications of the state, the artificial intelligence -based platform will be the first of its kind in India. It is expected to enhance operational efficiency through the supply chain while enhancing the protrusion of Aam on the global tea map.
Asam contributes to more than half of the total tea production in India, which makes her role in this technological transformation particularly important. The proposed digital auction platform aims to provide a worthy environment for both buyers and sellers, while reducing prices manipulation and reducing fraudulent practices.
The plan was determined in the state’s financial budget in the period 2025-26, which was presented by Finance Minister Aganta Newg in the Assam Association. The government confirmed that the initiative will bring significant improvements to the current auction mechanisms and contribute to a more transparent, fair and sustainable environmental system for tea trade in the region.
Despite the reputation of a high -quality tea production, the current auction framework faced criticism due to limited transparency and incompetence. By adopting Blockchain technology, the state aims to create a central record of transactions, while using artificial intelligence will help analyze market trends, improve auction timing, and improve decision -making processes.
The authorities believe that the platform will allow fair participation in all fields, including farmers on a small scale and large real estate. By providing visions based on safe data and interactions, the initiative is designed to provide equal access to market opportunities, thus supporting comprehensive growth in the tea sector. In addition, the Blockchain component is expected to bring a greater vision of the supply chain, which is beneficial to both producers and consumers.
The Technology Development Strategy for the Wide Technology in Aam State includes plans for the first online control laboratory in India. The state government intends to provide the Asam police with advanced tools to combat emerging digital threats, enhance cybersecurity, and improve digital forensic capabilities.
In parallel, the Aam State government is pushing to update land revenue systems. The National General Document Registration System (NGDRS) is approved under the “One Nation, One Software” initiative. This transition includes the use of spatial geographical technology to evaluate accurate lands and Blockchain integration in NGDRS to enable safe and faster property transactions.
The tea sector in India was under pressure due to the disturbances associated with the recent climate. The tea council in India recorded a decrease of 7.8 % in tea production during the year 2024, with a total production of 1,284.78 million kilograms compared to 1,393.66 million kilograms in 2023. The decrease in heat and floods during critical harvest periods contributed to high prices. The average tea price in 2024 increased by 18 %, reaching $ 198.76 ($ 2.32) per kilogram.
Despite this deficiency, tea exports in India grew by 10 % in 2024, with a total of 254.67 million kilograms, an increase of 231.69 million kilograms in the previous year. Increased demand from countries such as the United Arab Emirates, Iraq and Russia contributed to this growth. India primarily exports CTC (Crush-TEAR-CURL) to markets such as Egypt and the United Kingdom, while the Orthodox class finds buyers in Iraq, Iran and Russia.
By integrating artificial intelligence and Blockchain into its most vital industries, Assam determines itself as a leader in digital innovation. These developments are not only expected to enhance the state’s economy, but also act as a plan for similar transformations in the states and other Indian sectors.
