The Hindu Business Line : `Tea sector package doesn't benefit small growers'

SMALL tea growers in the Nilgiris are not happy by the Centre's recent announcement of subsidy for the production of orthodox teas, unlike the corporate sector.

"Our green tea leaves are bought by the small-scale factories called bought-leaf factories. These factories produce only CTC teas and not orthodox. So, they will not be eligible to claim the subsidy," Mr M. Bhojarajan, President, Nilgiris Small Tea Growers' Association, told Business Line.

Also, there are not many fields that can supply the type of leaves wanted for the manufacture of orthodox teas.

"So, the small growers have nothing to gain from the present announcement," he said.

On the contrary, given the decline in prices week after week, the economy of the small growers has come back to the dismal scene of 2000.

With the buyers showing an explicit reluctance to pick up the teas at the Coonoor auctions and the crop arrivals posting an increase in the wake of the recent rains, there is a virtual glut of tea and the Government should support the small farmers through a direct purchase of the teas from the small-scale factories, he said.

"This could be on the lines of Nafed buying chillies. With no takers for our teas, we are looking for immediate relief. Conversion of the manufacturing facilities in the small-scale factories from CTC to orthodox to gain from the subsidy is a long-drawn process. Right now, it is a matter of survival, let alone growth," Mr Bhojarajan said.

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