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Deeptha Rajkumar

Wellington (Nilgiris) , Sept. 30

SOUTH India needs to concentrate more on producing orthodox teas, Mr N.K. Das, Chairman, Tea Board, has said.

Speaking to Business Line after the Upasi meet in Coonoor, Mr Das said one has to produce teas what the world wants. ``Under the Additional Excise Duty Fund, we have proposed an additional subsidy for orthodox conversion. While we are as yet undecided on the amount of subsidy, the scheme should be ready for implementation by year-end,'' he said. According to the Tea Board chief, it is time the industry geared up and took the lead in marketing and promoting its teas. ``The industry is facing a lot of competition domestically. It has to start marketing its teas aggressively,'' he said.

Mr Das cited the example of an Assam Tea company which has set up Camellia Bars, a tea bar that offers a wide range of teas and tea mocktails. ``I am not suggesting that the industry emulate them exactly but at the retail level, look at doing something akin to this,'' he reasoned. Of course in this process one cannot ignore the fact that the quality of leaf has to improve. ``And quality means value addition, clean teas,'' he added. According to Mr Das, the major problem in the plantation sector is the age of the bush. ``The stress has to be on re-planting. The industry has to ensure that the age of the bush be as young as possible. This is essential for bettor productivity,'' he said.

On the export front, it is learnt that the board would support companies that are looking to market its teas in SE Asian countries such as Thailand and Malaysia. ``There is tremendous scope there, specially for packet teas. We have seen a couple of companies, already exporting to these countries, doing quite well,'' he said. Australia is another market that has been identified as having tremendous potential for packet teas and tea bags. Not to forget the US, which offers a market for speciality tea. ``It is a great market for hi-value, speciality teas, including top garden marks,'' he said. The Tea Board Chairman said a subsidy for intermittent exports is on the cards as a kind of incentive for players who are in a position to increase their exports. ``We are currently looking at making a few minor changes to make it more country focussed i.e. concentrating on a few specific countries say such as Pakistan, Afghanistan etc. The subsidy is kind of a reward for those who are able to export more than say the minimum stipulated level,'' the Chairman explained.

On the issue of evolving a price sharing formula between the factories and the small growers, he said ICWAI had submitted its findings to the board. ``The report is before the committee set up to look into this issue. We intend to discuss the matter thoroughly with all the players in the industry, from bought leaf factories, small growers etc before arriving at any decision,'' he remarked.

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