Employee Reporter

GUWAHATI: All stakeholders in the tea industry, including small tea farmers, have found a happy medium and fixed a minimum price for tea as it is the only way to sustain the industry in the country. They believe that this system will be a win-win situation for all stakeholders, from producers to buyers to the government.

The representatives of Indian Tea Association (ITA), Tea Association of India (TIA), Confederation of Small Tea Growers’ Associations, Assam Tea Small Growers’ Association, Bodoland Small Tea Growers’ Association etc. met in Guwahati today to launch a book dedicated to the problems and prospects of the tea industry, ‘Minimum Floor Price’. The focus of the meeting was on the fact that small tea growers are not getting remunerative prices for their green leaves. The small tea growers’ associations are demanding their inclusion under the jurisdiction of the Ministry of Agriculture, which will offer certain schemes that could benefit them.

Chairman of Dhunseri Group, Chandra Kumar Dhanuka, who wrote the book, said, “Once the minimum price system is introduced, small tea farmers will get at least Rs 35 per kilogram of green leaves, giving them a fair return for their green leaves. Currently, small tea farmers get an average of Rs 20 per kilogram. This is not enough to enjoy a minimum standard of living. This, in turn, will not only improve their livelihood; they will also pluck better quality leaves, ensuring that quality and healthy teas are delivered to the end consumers.”

Dhanuka further said, “To implement the floor price system, the government does not need to spend a single penny. The floor price is the price below which tea will not be sold at auctions for private sale for consumption in India. Bids below the floor price will not be accepted by the brokers for Indian consumption.”

Hemant Bangur, Chairman, ITA and CCPA, said that the minimum price takes a radically different approach to mitigate the sustainability issues of the Indian tea sector. If the minimum price mechanism is implemented, it should be aligned with the production costs of tea producers, he said.

TAI President Sandeep Singhania said, “At a time when the tea industry is struggling with oversupply of inferior quality tea and tea prices that do not reflect the cost of production, it is imperative to have a formula for a price equalization system that ensures a reasonable margin to the industry after recovering the cost of production.”

Rajeeb Gohain, member of the Tea Board of India, said: “Small tea farmers are not getting lucrative prices for green leaves. The big tea companies must take note of our complaints.”

Rabi Ram Boro, president of All Bodoland Small Tea Growers’ Association, said, “The government must bring the small tea growers under the Ministry of Agriculture. If they are not brought under the Ministry of Agriculture, they will miss out on the benefits of various agricultural schemes.”

Representatives of organizations representing all stakeholders in the industry decided to hold another meeting to jointly propose to the government the introduction of a “minimum price” system for tea.

Also read: UASTPA calls for random checks on illegally transported green tea leaves from Arunachal Pradesh to Tinsukia and Dibrugarh (sentinelassam.com)