Tea prices have hit record highs, rising almost 35 per cent in the past 12 months, because of the impact of simultaneous droughts in the main exporting countries.

Sharp output falls in India, Kenya and Sri Lanka have come as demand remains robust in spite of the impact of the economic crisis, exacerbating last year’s deficit. “Major black tea producing countries have continued to record lower production ... owing to dry weather conditions,” said Sicily Kariuki, managing director at the Tea Board of Kenya, the industry regulator.