• Time For Bonus Talks In North Bengal | FAITTA Meeting In Guwahati |

    By Aravinda Anantharaman | Editor

    India Tea News for the week ending September 13, 2024
    India Tea News | Aravinda Anantharaman

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    Annual tea bonus 2024
    Annual tea bonus 2024

    Time For Bonus Talks

    With the festival season coming up in India, this is the time of year when tea gardens in the north announce the annual bonus. In North Bengal (Darjeeling and Dooars) for the first time eight major tea garden workers’ trade unions decided to unite as a united front. The bonus is decided between the unions and planters associations and ranges from a minimum of 8.33% of the worker’s annual earnings to 20%. In the second round of talks held in Kolkata this week, the unions began their negotiations with 19% while the planters said they will not be able to pay in excess of 10%. A third round of discussions is expected around the 20-21 of this month. Talks in Assam have not begun yet.

    FAITTA Meet In Guwahati, Assam

    The 10th annual meeting of the Federation of All India Tea Traders Association took place at Guwahati last week. Speaking at the meeting, Sanjay Shah, the association’s chairman noted an increase in packet tea over loose tea. He also expressed concern about the market’s inability to absorb recent price increases. He noted that Indian exports are gradually improving and 2023 saw 228 mn kilos exported while in 2024, tea prices surged by 46%. Mr Shah also added that the FAITTA have submitted a food safety roadmap for tea to the Food Safety and Standards Authority of India (FSSAI) for good agricultural practices involving integrated pest management.

    Episode 185

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  • Kangra’s Tea Factories May See Revival | Tea Prices May Go Up As Procurement Costs Rise | CAG Report Highlights Poor Implementation of Labour Laws In Assam

    By Aravinda Anantharaman | Editor

    India Tea News for the week ending September 6, 2024
    India Tea News | Aravinda Anantharaman

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    Dharmsala Tea Co., Kangra
    Dharmsala Tea Co., Kangra

    Kangra’s factories may open again

    Following a tea board meeting this week, plans are underway to revive the regional cooperative tea factories in Kangra. Four cooperative factories were established in Kangra between 1964 and 1981, but three of them shut down, and only the one in Palampur remains open. With the growing small tea grower segment, reopening and upgrading the factories could benefit farmers. The Hindustan Times quoted Kangra Valley Small Tea Planters Association president Suksham Butail as saying it could benefit 250 small tea growers and support the livelihood of 6,000 individuals.

    Tata and HUL may increase tea prices

    Supply of tea has been hit this year, with climatic conditions being a significant reason. The surge in tea prices stems from a sharp decline in production. Tea production dropped by about 13% from January to July, impacting prices. July auction prices in North India increased by 21% from last year. August saw a further rise in auction prices in Kolkata and Siliguri. Coonoor and Cochin also saw a price rise of 37% and 21% respectively. The impact of price rise was seen in CTC more than orthodox. This is expected to impact retail prices from the top two packeteers in India, Hindustan Unilever (Lipton, Taj Mahal, Brooke Bond) and Tata Consumer Products (Tata Tea, Tetley, Kanan Devan, Agni, etc.). Incidentally, share prices of several listed tea companies, including Jayshree Tea and United Nilgiri Tea Estates, surged on Wednesday thanks to increased procurement costs. Business Today

    CAG report highlights the inadequate implementation of labor laws

    A recent Comptroller and Auditor General report highlighted inadequacies in implementing labor laws in Assam. The audit on Implementation of Schemes for the Welfare of Tea Tribe, for 2015-16 to 2020-21, assessed the implementation of welfare schemes for the tea tribes across Cachar, Dibrugarh, Nagaon, and Sonitpur. There are 390 tea estates in these zones, of which 40 were selected for the audit based on plantation size and worker count. The audit included records and interviews with 590 workers. Some of the areas highlighted are insufficient intervention by the state in aligning wages with the Minimum Wage Act (MW Act), inadequate efforts to improve workers’ conditions, wage disparities between Barak Valley and the Brahmaputra Valley, poor implementation of welfare schemes, and lack of reports and data as mandated.
    Pratidin Time

    Episode 184

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  • Wayanad Landslide Aftermath | Andrew Yule Reports Loss

    By Aravinda Anantharaman | Editor

    India Tea News for the week ending August 30, 2024
    India Tea News | Aravinda Anantharaman

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    Torrential monsoon in the rugged tea lands caused deadline landslides.
    Torrential monsoon in the rugged tea lands caused deadline landslides. Torrential monsoon in the rugged tea lands caused deadline landslides. Photo by Melech Charly on Unsplash

    Wayanad Landslide Aftermath

    It has been nearly a month since the devastating landslide in Wayanad. Over 100 people are still missing. DNA testing has been the only way to identify family members. Media reports carry stories of families desperately trying to understand whether a missing family member is alive or among the unidentified dead. There have been mass burials, and among those dead are several people who came from states such as West Bengal and Assam to work on tea, coffee, and rubber estates here. Harrisons Malayalam Ltd. is one of the largest tea companies in the state, with tea estates in the affected area and about 600 workers. The company has committed to supporting relief measures for its employees.

    Andrew Yule & Company Reports Losses

    The Deccan Herald has reported news of Andrew Yule & Company, a public sector undertaking under the heavy industries ministry, declaring nearly Rs 1000 crore or USD 100 mn in losses for 2023-24. This has put the future of 8,000 workers in Assam at risk. The company owns 15 estates, of which 10 are in Assam. There are concerns about how this would impact the running of the estates, with labor unrest being a top concern. The chief secretary has sought interventions from the union government to help the company address its current situation.

    Episode 183

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    • Assam Small Tea Growers Pledge To Grow Clean Tea | North India Tea Production Lower by 60 Percent

      By Aravinda Anantharaman | Managing Editor

      India Tea News for the week ending June 28, 2024
      India Tea News | Aravinda Anantharaman
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      Application of pesticides in tea fields
      Application of pesticides in tea fields

      Assam Small Tea Growers Pledge To Grow Clean Tea

      The All Assam Small Tea Growers’ Association has pledged to work to improve the quality of Assam tea. The association has appealed to its members to stop using banned pesticides. They are conducting workshops to raise awareness about tea safety and permissible pesticides. And seem keen to change the perception that small tea growers are dragging down the quality of tea. Some samples of green leaf from small tea growers got a clean chit after testing at the Tea Research Association at Jorhat. What they seek in return for producing clean leaf is remunerative prices.

      India Tea Production for 2024 Sees 60 Million Kilo Decline

      The Tea Association of India has issued a press release to raise concerns about the drastic drop in tea production in north India in the first and second flush. The cause has been the severe lack of rainfall and excessive heat which this region has seen all year. The Association estimates a reduction of around 60 million kilograms by the end of June 2024, compared to the same period last year. By April, Assam had an 8% drop compared to the same period last year, while West Bengal saw a 13% decline. Things took a turn for the worse in May, with a 20% and 40% drop in production compared to 2023 in Assam and West Bengal, respectively. While West Bengal saw a 50% to 80% reduction in rainfall in major tea districts, Assam saw a 10% to 30% shortfall. It also means possible heavy monsoons with above-normal rainfall that further exacerbate the situation.

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    • Iran Halts Tea Imports From India | NETA Asks for Ban on Six Pesticides | Kangra Tea Seeks Interventions From State Government

      By Aravinda Anantharaman | Editor

      India Tea News for the week ending June 7, 2024

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      Iran halts India tea imports
      Iran halts Indian tea imports, forcing growers and traders to find new markets.

      Iran Halts Tea Imports From India

      Iran, one of India’s big tea markets, has suddenly halted imports of tea and rice from India. No reason was given, although government officials have been quoted as saying this could be a retaliatory response as India stopped imports of kiwi and peaches from Iran. Another point raised was that Iran wanted India to restart buying oil. The Mint reported that Iran’s rice imports for April- September 2023 stood at $641.66 million, while tea imports for January- September 2023 stood at $66.39 million, valued second to the UAE. The tea bodies are waiting for Iran’s responses on the reasons for stopping imports.

      NETA Asks For Ban On Six Pesticides

      Representatives from the North Eastern Tea Association have submitted a memorandum to the state agriculture minister with an appeal to prohibit the stock, sale, and distribution of six pesticides – Cypermethrin, Acephate, Imidacloprid, Acetamiprid, Dinotefuran, and Fipronil. These pesticides are banned for tea, and the association said that testing of teas showed MRL ( maximum residue levels) residues indicating the use of these chemicals. The association said that these six pesticides contributed to much of the problems attached to the lack of food safety compliance.

      Kangra Tea Seeks Government Intervention

      The Kangra tea industry is awaiting some interventions from the state government to revive and promote their tea industry. The land under tea cultivation and crop have dropped significantly in recent years as it has been losing its viability. Three of the four government factories also remain closed. The tea association here has asked for greater support, especially in increasing the state’s tea tourism opportunities.

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