Business Daily from THE HINDU group of publications
Sunday, Aug 19, 2007
ePaper

Clasic Farm

News
Features
Stocks
Cross Currency
Shipping
Archives
Google

Group Sites

Home Page - Tea
Agri-Biz & Commodities - Agricultural Policy
Corporate - Sick Units
Centre may invoke Act to take over closed tea gardens

Panel set up to evaluate proposal for management change



Mr Jairam Ramesh

G. Srinivasan

New Delhi, Aug 18 In a clear move to put the reopening of closed tea gardens in West Bengal on a fast track and also in other States such as Kerala and Assam, the Union Government has set up a Committee to evaluate the proposal for change in management of the closed tea gardens if existing tea garden owners remain recalcitrant.

The Committee, to be chaired by Mr O.P. Arya, Additional Secretary (Plantations), Department of Commerce, and have Dr Sutanu Behuria, Financial Advisor in the Department of Commerce as member, would consist of the Tea Board Chairman, Mr Basudeb Banerjee, besides Principal Secretary/Secretary in charge of plantation/industry of the State Governments of West Bengal, Kerala and Assam.

Speaking to Business Line, the Minister of State for Commerce, Mr Jairam Ramesh, said: “The constitution of the Committee reflects the determination of the Government to invoke provisions under Section 16 (E) of the Tea Act, 1 953, which would mean the Tea Board taking over the garden for the express purpose of finding a new owner.”

The Minister made it clear that the takeover would not be for running the gardens by the Government but to hand over the management to new owners.

Mr Ramesh recalled that the Government had launched the Special Purpose Tea Fund (SPTF) in June for replanting and rejuvenation of tea gardens with a view to augmenting tea productivity.

After this package for tea industry on liberal terms, there was a general feeling that the closed tea gardens would be turned over to new owners who might avail of the SPTF for ensuring growth.

He said out of the 14 closed tea gardens in West Bengal, one has reopened.

The existing owners have been given time till August 31, 2007 to find prospective owners.

“If they are unable to do so, the clear signal is that the relevant provisions of the Tea Act 1953 could be invoked.”

He also said the new committee would receive offers from new owners and by setting up the Committee, the Centre has put the “recalcitrant tea garden owners on notice that the Government means business.”

The Minister pointed out that section 16(E) has seldom been invoked in the last 54 years; but the plight of 17,000 families whose breadwinners were working in the closed tea gardens in West Bengal was particularly acute.

He said that he had met with the Ministers for Industries and Finance of West Bengal on the issue of closed tea gardens last month.

In the case of Kerala, of the 17 closed tea gardens, eight have reopened, while in Assam, two gardens that were closed have been referred to courts for resolution.

More Stories on : Tea | Agricultural Policy | Sick Units

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page



PNB Hiring

Stories in this Section
‘Hold nuclear deal till doubts are cleared’


RBI group moots model legislation on money lenders
Treat dues to MTNL, BSNL as land revenue arrears, Govt tells States
Indian hopes to post Rs 25-cr net in ’06-07
Steel expansion may need Rs 2.8-lakh-cr
Centre may invoke Act to take over closed tea gardens
Rebound hopes rise as Fed acts to contain sub-prime crisis
Rs 1 lakh cr locked in frozen demat accounts
FIIs turn cautious in March-June


The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | The Hindu ePaper | Business Line | Business Line ePaper | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright © 2007, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line