Southern States - Tamil Nadu   

Union Minister's assurance to planters

By Our Staff Reporter

UDHAGAMANDALAM SEPT. 3. The Union Minister of State for Commerce and Industry, Rajiv Pratap Rudy, has said that the Central Government was receptive to the needs of the plantation sector.

Inaugurating the 109th annual conference of the United Planters Association of Southern India (UPASI), he said the sector was facing a peculiar situation with regard to its revival and all possible steps were being taken to help it. However, "it is not the plantation industry alone which has been affected,'' he added.

Emphasising the need for value addition and aggressive marketing, he said it was wrong to say that tea imports were affecting the domestic industry as the quantity being imported was negligible and only being done to honour certain commitments. He said there was the need to exploit the huge domestic tea and coffee market. Anti-dumping measures were in full swing.

Referring to other plantation products, such as rubber, he said that "with all the commodities being subjected to intense international competition, you have to gear up to the challenge.'' On labour reforms, he said "we have to strike a balance in times of crisis and technology should be given importance.''

Asking the planters to be more competitive, Mr. Rudy said the time had come to look for fresh markets. "Good days are ahead, have faith in the Government as we have faith in you,'' he said.

The association president, I.J.J. Rebello, said the sector as a whole in South India was facing a grim situation. The estates have already overdrawn frunds from the banks and other financial institutions and if the distress situation continues, the closure of the industry will become inevitable, he said.

Mr. Rebello said the industry had taken a number of initiatives to be cost-effective and improve quality. However, all concerned must join hands to bail it out. The planners should come out with market-oriented, rather than production-oriented, long term plans. The tea auction system needed reforms and the producers should be free to sell their tea through any channel. The agriculture Income Tax rates should be lowered, he said.

The Nilgiris MP, Master Mathan, stressed the need to lay more emphasis on the health aspects of tea.

Mr. Rudy distributed scholarships to children of a few plantation employees.

The association vice-president, P.S. Wallia, proposed a vote of thanks.

Share in global market

Addressing a press conference at Coonoor, Mr. Rudy said the immediate goal of the Union Commerce Ministry was to take the Indian share in the global trade from the present 0.67 to one per cent by 2007. Keeping this in mind, various steps were being taken to develop export-oriented infrastructure. A sum of Rs. 300 crores was earmarked for assisting exporters to improve their infrastructure. The export growth during the first four months of the current fiscal was 18 per cent compared to the corresponding period last year.

Describing 2001-2002 as a year of negative growth, he said that to boost exports emphasis was being laid on agri-Eeport zones to promote fruit and vegetable products through the APEDA. Among the products identified under this were the apples of Kashmir, grapes of Maharashtra, flowers of Tamil Nadu and vegetables of Punjab and Andhra Pradesh.

The Union Minister said the total expenditure for the AEZ scheme was estimated at Rs. 550 crores, including contributions from the State Governments. For Tamil Nadu the amount sanctioned was Rs. 24.85 crores and a memorandum of understanding had been signed for this. Tamil Nadu was one of the most progressive States whereas his home State, Bihar, was lagging behind.

"We want to phase out subsidies in all sectors,'' he said.

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