Nilgiri tea growers faces green leaf price decline
Teas grown
in the part of Nilgiri hills are generally known as South Indian Teas and account for
around 200 million-kg a year, 20-25 % of the total Indian crop.
Nilgiri
tea growers have been badly hit by the sharp fall in their green leaf prices and are in
great distress.
The tea
Board has announced a subsidy of Rs.5 per kg for tea bought by factories from small
growers for a period of six months. The central government has increased the import duty
on tea to 35 % and the Tamil Nadu govt. has reduced sales tax on tea from 8 to 4%.
However, this has not satisfied the small growers who are agitating for a Rs. 50 per kg
minimum price for their tea and a total ban on imports as reported by market sources.
The main
problem is with the common type teas and the bought factory teas, where small growers
bring their green leaf to factories who exclusively process such. It is in this sector
that prcies have dipped alarmingly to a low of Rs. 25 per kg.
At this
price no industry can survive. The problem appears to be only with the bought leaf teas.
Here is a comparison of the price concertia in some other centres:
Guwahati
Rs. 60 to Rs. 100 per kg; Siliguri Rs. 50 to Rs.100 per kg as reported by commodity
department. |
