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Bangladesh’s tea sector, long affected by sluggish sales and low profitability, has seen a dramatic turnaround in recent weeks as national election activities drive record demand. In the latest three auctions, nearly 90% of tea offered was sold at the highest prices in years, with average rates reaching BDT 265.06 per kilogram—up from BDT 218.15 in the same period last year. Major buyers, including Abul Khair, Ispahani, and Meghna, have been aggressively purchasing and stockpiling tea ahead of the upcoming parliamentary polls. Industry insiders attribute the surge to a mix of election-related consumption, reduced production, and government adjustments to minimum auction prices. Tea production this year is estimated to be at least 10% lower than in 2023, when the country recorded its highest-ever output. Stakeholders say the short-term boom may help offset earlier losses but stress the need for long-term policy support to stabilize costs and sustain profitability. Economists note that election seasons traditionally stimulate rural and urban economies, with tea being a symbolic and practical staple of campaign activities. The trend is expected to continue through the winter months as political competition intensifies.

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