Page 53 - #50 English
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Most of us have heard about the three pillars of sustain-
          ability in many types of industries. The pillar distinction has
          different focuses in different types of industries. The worldwide
          tea industry even has different definitions of sustainability. I,
          personally and professionally, believe that each person has his
          or her own definition of sustainability.
               As a tea buyer and the Ceylon Tea Ambassador, I have
          my own view of what sustainability is as it pertains to tea. First,
          let me start with my view of what sustainability is as a tea buyer.
          Regardless of what type of tea I’m buying or from where I’m
          buying it, I have always believed that a buyer needs to be aware
          of their suppliers’ needs as well as their own. When a buyer is
          aware of their suppliers’ needs then they have contributed to
          true sustainability. Let me define this as it pertains to economic
          sustainability.
               A tea buyer’s job description can vary from company to
          company. My approach is not only to price and quality, but also
          to making sure that the relationship is built on a foundation that
          will sustain itself. With respect to Sri Lankan teas, it’s clear to
          me that most recently they have been hit hard due to the Middle
          East crisis. When a country like Sri Lanka has government-
          mandated regulations as it pertains to the estate workers that
          must be followed regardless of global issues, it will directly affect   68 percent of the net sales average of the factories. If tea prices
          my supplier. A grower from Sri Lanka still has to make sure that   increase, then the workers will in turn receive more money.
          the estate worker is cared for regardless of the prices they are      Regional plantation companies now have an increased
          getting from the buyer.                              awareness and compliance of the social and environmental
               I have heard that tea is a buyer’s market as opposed to a   requirements at the estate level. They continue to pursue more
          seller’s market, especially with respect to Sri Lankan teas. This   environmentally-friendly and socially-responsible methods in
          has been a concern for me. Of course as a tea buyer, I suppose   all of the practices.
          I could leverage my supplier’s current situation. For example,      This structure cannot be maintained if prices continue
          I could try to buy the same product I have always bought, but   to fall and buyers continue to leverage the lower prices. When
          knowing that prices have fallen at auction I can get a better   the auction prices fall everyone in the supply chain is affected
          price from my supplier. If I do this, what would the effect be on   in one way or another, so paying a consistent and fair price for
          economic sustainability?                             tea is key to maintaining sustainability.
               Let’s assume that a supplier/grower is pushed into low-     Ceylon tea above all other teas has amazing potential for
          ering their price. If this price is not sustainable then there is a   continued growth, especially in the U.S. market for iced and hot
          chance that in the future the product may not be available. Maybe   tea. Climate and diversity in elevations add to the unique flavor
          the factory or estate would have to close.           profiles. All tea grown in Sri Lanka is now 100 percent ozone
               Regarding economic sustainability, Sanje Widyaratne,   friendly. This is a distinction of which no other tea-producing
          chairman and CEO for Walters Bay based in Austin, Texas, said,   nation can claim.
          “Economic sustainability related to tea can be simply defined as      For me, as the Ceylon Tea Ambassador for North America,
          paying a fair price for tea to the tea farmers and the tea process-  brand recognition continues to be a challenge. When the country
          ing factories. A fair price is a price that allows them to operate   changed its name from Ceylon to Sri Lanka it lost the connection
          their business in a way that is socially and environmentally   to the type of tea because the tea is Ceylon. My job is to bridge
          responsible. The way to do this is to allow the necessary dollars   this gap and educate consumers and other industries about the
          to flow all the way down to the end of the supply chain to the   benefits of Ceylon teas.
          tea processing factories and the tea farmers.”            Regardless of how you define the three pillars of sustain-
               As a grower Widyaratne knows first-hand the effects of   ability, I believe that we all have a responsibility in making sure
          his tea’s fetching a lower price at the auction. Of course no one   we do our part. Whether you are a grower, wholesaler, buyer,
          can predict global issues and their effects on tea prices. Sri Lanka   retailer or customer, the estate worker should be a driving con-
          is in a unique situation compared with other tea-growing regions.  cern in your pursuit for a great cup of tea.


          Potential for Growth
               When you buy tea from Sri Lanka you are paying more,   David DeCandia is director of tea and master tea blender at
          but there are reasons for the higher prices. First, you are getting   Coffee Bean & Tea Leaf, Los Angeles, Calif. As the first Ceylon
          an assurance that there is a minimum standard of living for the   Tea Ambassador to North America appointed by the Sri Lanka
          estate workers. In addition to a minimum wage, the Sri Lankan   Tea Board, DeCandia is conducting tea programs with the
          government also mandates education and has prohibited child   Specialty Tea Institute in the U.S. and Canada to educate tea
          labor.                                                drinkers on the history, sustainable practices and culture of Sri
               Sri Lanka is committed to producing 100 percent orthodox   Lanka’s signature export. With CB&TL, his position entails ev-
          production. Small holders produce approximately 70 percent   erything from sourcing and purchasing tea directly from estates
          of Sri Lanka’s tea. There are incentives to producing good tea.   to creating the company’s blends. DeCandia may be reached at
          The Sri Lankan law requires that small holders be paid at least   ddecandia@coffeebean.com.
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