The factors such as the harsh global competition, continuing rise in the production costs and fall in demand have been forcing firms to use their sources more efficiently. This enhances the importance of the just-in-time production system. Just-in-time production system is a modern production system basing on the production of the requested items whenever and wherever they are needed by carrying the quality demanded. The main philosophy behind this production system is to ensure the

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... of the costs by eliminating the inefficiencies. The vast majority of the costs in the tea sector are composing of the direct raw material. This study examines the influence of just-in-time production system on the direct raw material cost by taking a publicly owned tea firm as an example. The study concludes that the use of just-in-time production system in the tea firm has made a positive influence on the minimization of the direct raw material cost. Based on the findings, some recommendations have been improved for tea firms. In addition, we believe that this study will open new path for next academic studies.