The tea growing areas of Iran are situated in the northern part of the country i.e. on the southern shore of the Caspian Sea between 40042’ and 5008’ E longitudes and 37 025’ to 360 61’ N latitudes. They are areas are scattered in an area which is 203 km long and 90 km wide, surrounded by the Alborz Mountain Range.The highest tea growing areas are on an elevation of about 715 above sea level in the Mazandaran Province at Balabanmd area and the altitude is about 1262 m in Loshadeh area of Lahijan. The tea areas experience severe cold during winter when tea bushes remain covered with snow for weeks. China type of bushes and its small leaf hybrids are grown. Plucking of tea starts from the beginning of May and continues upto first November.
Tea plantation in Iran is carried out by small holders. There is more than 42,000 tea plantation in Iran.About 50 percent of the area in under gardens which measures less than one acre.
The green leaf is purchased by the Small Tea Organization (S.T.O.) from the growers at the purchasing centres and factories and handed over to the factories for processing. According to law, the government is obliged to purchase all the green leaves produced by the tea planters at a rate fixed by the Higher Economics Council every year. The Government makes contract with private tea factories every year for processing the leaves. The tea factories receive manufacturing charges on the basis of the quantity and quality of tea they manufacture.The tea factories are mostly private and a few are owned by the S.T.O. Tea factories do not belong to any tea garden. Tea processed at the private tea factories may be sold by them directly to the consumers or wholesalers. Normally the processed teas are transferred to the S.T.O. warehouses where these are blended and packed in bags. The packers buy the teas from S.T.O. and after retail packing with their own brand, teas are sold to wholesalers for .All the products in Iran is black teas.