The Hindu Business Line : Floods worry Nilgiris tea producers

Coonoor, July 11 The flood situation in Rajasthan, Gujarat and Maharashtra is causing concern to tea producers of the Nilgiris on the eve of the auctions of the Coonoor Tea Trade Association (CTTA) on Thursday and Friday with a huge volume in catalogue and equally huge volume of unsold teas in the warehouses.

“We are keeping our fingers crossed on the buyers’ behaviour. Last week, many said they did not have fresh orders because of floods,” Mr T. Rangaiah, President, Nilgiris Small Tea Growers’ Association, told Busin ess Line.

Cash crunch

Buyers said they were awaiting orders. “We also have cash crunch because our previous consignment is yet to be unloaded in upcountry markets. There are places where trucks hesitate to go. In some cases, retailers complain that the teas had been spoilt due to dampness,” a buyer said.

They also complain that the huge volume has come about sacrificing quality. “In the prevailing circumstances, we are picking up only quality invoices,” another buyer said.

Last week, export purchases were also subdued. As much as 60 per cent of the offer last week went unsold.

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