Agri Business

Tea Board fixes highest-ever average price for small growers

Our Correspondent Coonoor | Updated on October 02, 2020 Published on October 02, 2020

The Tea Board has announced that the average price to be paid to small growers in The Nilgiris for their green leaf during October will be at the all-time high of ₹30.03 a kg.

The Board’s Executive Director M Balaji said that this price has been fixed based on the consolidated auction sale average price of bought leaf factories’ CTC teas in September.

These factories buy green leaf from small growers to be used as raw material while manufacturing tea.

Balaji said that all bought leaf factories have been instructed to adhere to this average price while buying green leaf from growers in October, and all field officers of the Tea Board have been instructed to ensure that no factory pays less to any grower this month.

The average price fixed by the Tea Board has been tracing upward trend each month since May, with the current price is ₹3 per kg more than that fixed for September.

In October last year, the average price was ₹13.28 a kg.

“We welcome the price announcement of the Tea Board. For many months now, small growers have been asking for an average price of ₹30 a kg”, Ramesh Chander, President, Nilgiris Small Tea Growers’ Association, told BusinessLine.

“Generally, 4-5 kg of green leaf are used to manufacture 1 kg of black tea. This means, in October, growers will get on average ₹120-150 for their green leaf for every kg of manufactured tea”, he explained.

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on October 02, 2020
This article is closed for comments.
Please Email the Editor