The deal was concluded recently. The tea board chairman told PTI that Iraq is a huge market for Indian tea. This would definitely boost the country's tea export efforts to that country.

Besides India, Sri Lanka had also bagged an order of similar volume from Iraq, he said.

Mr Das said India would participate more in the tendering process so that more orders could be bagged under the food-for-oil programme.

As compared to last year, India's overall exports had been 5.82 million kg higher till July. He hoped that the country's export target would be reached this year going by the latest indications.

The Indian tea association (ITA), the apex body of tea growers, had pegged the export target for the year at 225 million kg. In 1999, the country's actual export figure was 190 million kg.

To promote tea exports, ITA has been sending high-level delegations to WANA (West Asian, North African) countries and the Middle East. The ITA officials said the country visits has started to yield results.

Besides, there are firm demands of tea from Russia, UAE, Iran and Liberia.

Commenting upon the domestic market, Mr Das said the rate of growth of per capita consumption had not been what the industry had expected. The tea board chief said the industry would soon start a campaign highlighting the health aspects of tea.