KOZHIKODE: “Vaikittu entha parupadi? Oru chaya kudikan poyalo?” (“What’s the evening plan? Shall we go for tea?”)
For generations in Kerala, this casual question has been more than just that — with outpourings of a cultural ritual. More recently, the state has witnessed a surge in tea shops, driven largely by millennials and Gen Z crowds, who have turned such spots into buzzing social spaces.
Now, with the price of a cup of tea already touching Rs 25-35 and climbing in many places, there is growing concern that this vibrant trend could begin to lose momentum. For owners of trendy tea shops and cafés, the spike in commercial LPG prices is posing a serious challenge. With the cost of a 19kg commercial cylinder crossing Rs 3,000, operating expenses have surged over a short span of time.
Unlike traditional establishments, many of these tea startups operate on tight margins, focusing on high volume and affordability. From cutting chai and snacks to curated café style menus, their appeal lies in offering a pocket-friendly social experience.
“We started this place as a hangout spot for people our age. If we keep increasing prices, that whole idea gets affected,” says 27-year-old Adil, who runs a small café with his friends near Irigadanpalli, Kozhikode. “Milk, sugar, gas — everything now costs more,” points out another young owner, 25-year-old Neha. “We try to adjust, but there’s only so much we can absorb without touching the menu price.”
The new wave of tea cafés is not just about beverages; it’s about ambience, community, and identity. These spaces have become evening hangouts, informal meeting spots, and daily rituals for young people.
“We come here almost every day after work. It’s not just about tea, it’s about sitting together and unwinding,” says Rahul, a 24-year-old student of the Vellimadukunnu Government Law College in Kozhikode. “If prices keep going up, we might not come as often.”
For college students, even a small price increase makes a difference. “We usually spend Rs 50-100 here with friends. If a cup of tea costs Rs 30 or more, we’ll have to cut down,” says Anjana, a degree student.
Owners say this is exactly the dilemma they face. “There’s a psychological barrier. People don’t mind paying Rs 150 for coffee, but tea is expected to be cheap,” says Adil.
The boom in tea shops has been fuelled by changing lifestyles and social media trends. Small, aesthetic tea spots offering unique snacks and vibes have become hugely popular among the younger crowd. But sustaining this model is getting tougher. “We’re not big businesses. Most of us are young entrepreneurs who started with small investments,” says Neha. “If costs keep rising like this, survival itself becomes a question.”
For now, many café owners are trying to absorb the rising costs without passing the full burden onto customers. But they admit it may not be possible for long. “We don’t want to lose our regular crowd. They are the reason we exist,” stresses Adil. “But at the same time, we can’t run the business at a loss.” Regular customers understand the situation but hope prices stay reasonable. “We get that costs are increasing, but tea is something we have every day. It shouldn’t become expensive,” says Rahul.