Teabox shortens tea supply chain to deliver fresher teas to the market

Kaushal Dugar, CEO of Teabox, which launched in 2012, comes from a family with over 70 years in the tea industry. He started the company to revolutionize the tea trade.

Source: Teabox. Dugar.

“I’ve always been passionate about entrepreneurship,” Dugar shared, noting that the tea industry, valued at US$90 billion, uses outdated practices. He pointed out that while India is a top tea producer, its tea isn’t as renowned as tea from Japan or China.

He explained that typically, after tea is harvested and processed, it’s sold in auctions. “It takes around five months and passes through many intermediaries before reaching the consumer, resulting in a loss of freshness and flavor,” Dugar stated.

He saw a chance to connect tea lovers directly with fresh tea. “That’s what we do at Teabox,” he explained. “Our team is split between our customers and the tea gardens of Darjeeling. We source our tea within 48 hours of production and deliver it to our customers within a week.”

This approach quickly gained the attention of major Silicon Valley investors like Accel Partners, known for backing companies like Dropbox and Facebook. Teabox secured US$1 million in funding and hasn’t slowed down since. 

Teabox boasts the largest selection of single-estate teas available, with over 100 varieties. To date, they have shipped over 6 million cups of tea to customers in 74 countries.

Dugar highlights that the company provides in-depth information about its teas, comparing the experience to appreciating fine wine or scotch. Details such as harvest year, packaging year, and certifications like “USDA organic” and “Fair Trade” are displayed to empower customer decisions.

The Teabox website showcases the meticulous care put into each description. For example, the 2014 Dooteriah China Special (Summer) Darjeeling black tea, priced at S$9.81 for 100g, is characterized by its “woody scent with a hint of spice” in its dry state, transforming into a “sweet, reminiscent of peaches and caramel” aroma when brewed.

Even steeping instructions are precise, specifying water temperatures between 90 and 100 degrees Celsius and a steeping time of four to five minutes for optimal enjoyment.

Teabox also offers “Fresh Beginnings,” a monthly subscription service that sends subscribers five unique teas accompanied by stories, anecdotes, and tea-related information.

Dugar emphasized the health benefits of tea, stating that “tea, without additives, is a very healthy beverage.” He highlighted the high antioxidant content in tea, which can neutralize harmful free radicals linked to cell damage and aging. He also pointed out the richness of catechins in green and white teas, compounds studied for their potential in mitigating the negative impacts of stroke, Parkinson’s disease, and Alzheimer’s disease.

While Teabox focuses on Indian teas, particularly known for their black varieties, Dugar acknowledges the distinct strengths of other tea-producing regions. Japan, for instance, sets the bar for green teas with its matcha, while China, according to Dugar, “produces the ultimate white teas.” He contrasts Indian teas as “brisk” and “explosive” in flavor, unlike their milder and more delicate Asian counterparts.

Dugar outlined the three key tea-producing regions within India:

Darjeeling, producing teas often dubbed the ‘champagne’ of teas, is recognized for its light, delicate flavors favored by tea connoisseurs and newcomers alike.

Assam, responsible for the largest volume of tea production in India, is known for its teas with a full-bodied, malty flavor profile that makes them ideal for breakfast. Assam CTC* tea, in particular, is a popular choice for blends.

The Nilgiri district in South India produces lesser-known yet remarkable teas. Dugar described black teas from this region as having an “intense aroma” and a smooth finish.

*‘Crush, tear, curl’ refers to a specific tea production method.

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