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Push for hill tea packaging unit

Push for hill tea packaging unit

VIVEK CHHETRI, TT, 30 September 2019, Darjeeling: Darjeeling MP Raju Bista has said he is pushing for a "retail packaging" unit to be set up for Darjeeling Tea in the region, an idea that has evoked mixed reactions from planters.

"Since Darjeeling is a specialty tea, I have already started to impress upon the government to set up a retail packaging unit in our region, so that Darjeeling tea can be sold directly in the export retail market," said the BJP MP.

Bista is also a member of the Tea Board of India and sources in the industry said they had been getting feelers for such an initiative from the government for the past few months.

The MP said such an initiative would help Darjeeling Tea get "appropriate prices", "help with tracing actual production" and contribute towards long-term sustenance of the industry.

Tea unions have always complained that tea companies from Darjeeling are unwilling to disclose their export prices and that they largely disclose only auction prices.

Almost 80 per cent of Darjeeling's premium first-flush variety is exported. Plucking takes places in four flushes.

The 87 tea gardens in Darjeeling on an average produce around 8 million kg of made tea annually.

Darjeeling Tea stakeholders, however, had a mixed reaction to Bista's plan.

"Such an initiative will help in terms of the domestic market but the same cannot be said for exports," said a veteran of the industry.

Industry heads are of the opinion that strict food regulations and some other legal issues would be a major hindrance to exporting packaged tea products.

"Food safety norms are very stringent and it will be difficult to export the produce.

The question of branding and marketing of packaged Darjeeling Tea would also be a major issue," said an owner of a Darjeeling tea garden.

Many were of the opinion that unless international buyers set up a packing industry in India, a government initiative would not really serve the purpose.

"Any problems in packaging would attract serious legal consequences. This is why exporters would want to go for packaging in their own country to guard against legal issues," said a stakeholder of the industry.

"The other option would be that major companies them- selves set up their own packaging unit in countries where production costs are lower," he added.

The stakeholder cited a case of a major tea company moving out its entire packing unit to other European countries from the UK to save on costs.

Most, however, were of the opinion that such a packaging unit could be beneficial for sales in the domestic market. Many also said serious efforts should be made to stop the influx of tea from Nepal. "Siliguri is become a major point where Nepal tea is being dumped," said a source.

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