Date:09/09/2008 URL: http://www.thehindu.com/2008/09/09/stories/2008090955060500.htm

Tamil Nadu - Udhagamandalam

‘Turnaround in tea prices should not overshadow problems’

Special Correspondent

— Photo: D. Radhakrishnan

P.K.Chaudhery (third left), Additional Secretary, Ministry of Commerce, chairing a Session On Commodity Outlook at Coonoor on Monday.

Udhagamandalam: Things may be looking up on the tea front but that must not make us lose sight of the problems plaguing the tea industry, said Basudeb Banerjee, Chairman, Tea Board, at Coonoor on Monday.

Addressing the Session On Commodity Outlook organised as part of the 115th annual conference of the United Planters Association of Southern India (UPASI), he expressed the hope that the good prices being fetched by tea this year would stabilise.

“The trend is expected to continue next year,” he said. However, it should not divert attention from the basic problems which were yet to be solved. A great deal had been learnt from the trials and tribulations in the sector particularly in South India.

Expansion of area under tea should not be the aim. Instead stress should be on increasing productivity. Medium to long term measures to increase productivity and reduce the cost of production formed an important part of the policy initiatives of the Board. Value addition should be a thrust area.

He said replantation and rejuvenation held the key to long term competitiveness of the Indian tea industry, given the high age profile of the tea bushes. Mr. Banerjee said that around 2.12 lakh hectares which fell in the vulnerable category of low yielding areas should be targeted for replantation or rejuvenation.

Pointing out that so far 752 applications had been received, he said that South India was lagging. Referring to market promotion, he said that the key export markets targeted were Pakistan, Iran, Russia, Egypt and high value markets.

Sajen Peter, Chairman, Rubber Board, said that since there were limitations on further growth in traditional rubber growing areas, the emphasis of the Ministry was on expansion in non-traditional areas like the North East.

G.Krishna Rau, Chairman, Coffee Board, said that the workers had started looking elsewhere for a livelihood and their aspirations had started rising. By ensuring higher productivity of the estates the planters could pay more to the workers.

The Director (Development), Spices Board, R.Chandrasekhar, said that spices parks had been proposed at seven places including Sivaganga district in Tamil Nadu, Guntur in Andhra, Barabanki in Uttar Pradesh, Jalawar in Rajasthan and Idukki in Kerala.