Key stages in the tea industry value chain

Value chain management aims to connect the boundaries amongst activities, which craft value for clients and accomplish activities that bring competitive advantage. The value chain helps coordinate activities from initial raw materials throughout the process to the final product (Tippayawong et al. 2017). Through value, the chain industry can plan and improve efficient operations and strengthen the economics and corporate value chain (appendices 3).

3.1 Raw materials

The supplies of raw materials come from the major tea producing region, as detailed on (no. 2.2) above and other tea farming countries. Those are major producers; hence one can obtain the raw materials from those regions/countries.

3.2 Primary commodity production

According to (Tippayawong et al. 2017), major commodities of tea are black tea, green tea, and Oolong tea, among others. Tea production involves a major step, which includes, starting from seed supply (tea seed supplier) to the final consumer, as shown on appendices 3.

3.3 Supply chain to the production stage and the main market

There are several stages involved in tea production from seed provision to the final product. (Tippayawong et al. 2017) outlined different staged (tier) and are classified as inbound logistics (which main happens within the region of production), operation (where the major process takes place), and outbound logistics (which involves distribution and marketing, then to final consumer), see appendices three below.

3.4 Identify/unpack actual and/or potential ethical

Moitra et al. 2016, identified the ethical issues faced by the people working on the tea industry and noted most of the workers had respiratory health issues resulting from occupational exposure to the industry.

3.5 Sustainability and Social Responsibility (SR) issues

According to (Chowdhury et al. 2016), there is a lot of tea wastage, such as dust that is produced by manufacturing industries, and they have few markets hence creating environmental health issues to the communities around. Dutta (2014), a study on climatic change and the impact on tea production in Northeast India, indicated that there was a possibility of an increase in temperature by 2 °C in 2050, with no much disparity in rainfall patterns. Therefore, there are likely changes in tea production, and tea farmers should look for other crops and adapt to actions that will keep the industry in operation. As a result, the company is likely to face these issues and should make a forecast that will see the company sustain these impacts. Tata global beverage should start implementing changes in their management practices to familiarize themselves with the evolving conditions and climatic changes, before the end of the ten-year forecast. (Taulo and Sebitosi, 2016) research indicated that gas originating from boiler fuel ignition and stand-by fuel generators was affecting the health of workers and had a major impact on the environment. (Reay, 2019), added that (a).climate is affecting tea industry globally, (b) increase in viruses and pests attacks,(c) agroforestry is reducing the amount of tea produced, and (d) poor soil management among others. (Ahmmed and Hossain, 2016) study shows the majority of tea workers were women who start working from the plantations at an early age, which contributed to child labor. Also, there is a high rate of child mortality hence low levels of education. Despite the poor working and housing conditions, tea garden workers prefer to work long hours to meet their basic needs. Additionally, tea workers’ well-being and security matters are ignored commonly by plantation companies. There is an issue of forced labor where workers are supposed to meet a certain daily target. There are just a few issues that tea workers are facing globally.