Sales of high-end tea in Guangdong province before Mid-Autumn Festival have declined sharply due to government policies to limit luxury spending with public funds.

"High-end tea, along with mooncakes, is usually used as gifts during some big Chinese festivals. But this year, sales of tea have been greatly affected," said Zhang Liming, secretary-general of the Guangdong Tea Procession Association.

An association survey showed that sales of high-end tea dropped nearly 50 percent year-on-year before Mid-Autumn Festival, which falls on Thursday.