Agri Business

Tea Board fixes green leaf price at ₹12.57 a kg for August

PS Sundar Coonoor | Updated on August 02, 2019 Published on August 02, 2019

The Tea Board has announced ₹12.57 a kg as the district average price for green leaf in the Nilgiris in August.

Tea Board Assistant Director R Selvam said the new rate was fixed on the basis of the consolidated auction sale average price of CTC teas from bought leaf factories during July.

He said all bought leaf factories have been instructed to adhere to this price while buying green leaf from farmers this month. He also said all field officers of the Board have been instructed to ensure that no factory in their jurisdiction paid less than this price while buying green leaf this month.

The price of ₹12.57 is the lowest since August 2018.

The average price fixed by the Board had been falling month after month since May. For July, the price was ₹14.38 a kg. In August 2018, the price was ₹12.50.

Meanwhile, the bought leaf factories continue to voice their displeasure on this procedure. “We are worried that the Board does not heed our repeated plea to fix the price for the green leaf at the end of the month based on the price we get at the auctions for the manufactured teas during the month concerned,” Ramesh Bhojarajan, President, Nilgiri Bought Leaf Tea Manufacturers’ Association, told Business Line.

“Fixing the price at the beginning of the month does not help us in price recovery. Also, we have no price protection for our teas at the auctions,” he noted.

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Published on August 02, 2019
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