Tea sector hit by crisis: Rs 2,800-cr package awaits Centre’s nod

Tea sector hit by crisis: Rs 2,800-cr package awaits Centre’s nodA stimulus package for the crisis-hit tea industry in the country has been prepared by the Commerce Ministry, following a big economic crisis. The basic aim of the package, worth Rs 2,800 crore, which is submitted to the Government for Cabinet approval, is to improve the tea plantations.

It was announced by the Minister of State for Commerce, Jairam Ramesh, while launching the new e-auction and a GI logo for Assam orthodox tea at the Guwahati Tea Auction Centre that the tea growing states like Assam would immensely benefit from the new scheme.

Ramesh reported, “The proposal is designed to share social cost by the Centre in association with the tea growers at a ratio of 50: 50. The Centre had already spent to the tune of Rs 18 crore for replacing the existing auction system by e-auction in the greater interest of both foreign as well as domestic buyers.”

He further added, “By September 2009, the entire auction system will be replaced by e-auction and it will also remove the collision among the sellers and the buyers.”

The State Industry Minister Pradyut Bordoloi, senior Tea Board officials and the buyers attended this program.

A regional office of the Tea Board was inaugurated by the minister in Dibrugarh, who also addressed the representatives of the tea fraternity.

While explaining that the present era required installations of e-commerce stations for successful marketing, the minister proposed to set up a warehouse instead of a tea auction centre.

It was explained by the Union Minister that setting up tea auction centres now would not go well with the technological period. He in fact expressed his desire to facilitate tea business through cyber space, which he said is the necessity of the hour. The people of Dibrugarh had long been demanding for a tea auction centre.  

“I would discuss the matter with the Chief Minister Tarun Gogoi and find out why the Assam government was not in a position to look after the education in all the tea gardens across the state,” said Jairam Ramesh in regard to the education facilities in the tea gardens of Tamil Nadu and Kerala, where the education facility at the tea garden is looked after by the state governments.

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