Double whammy: N Bengal tea gardens hit by price crash & decrease in production

MP |10 May 2023 : The market price of the tea produced has not been meeting expectations in the Terai and Dooars regions, said sources. Additionally, the tea production has significantly decreased due to severe weather conditions. 

The largest industry in North Bengal is reeling under a crisis claim tea associations. In the region, there are over 300 tea gardens. The second flush tea of Terai and Dooars is the second largest harvest, taking place from the middle of March to June. It is the most expensive tea. However, due to the heatwave, the demand for tea has decreased and production has reduced. 

Chinmay Dhar, the Chairman of Tea Association of India (TAI) in North Bengal, stated: “The demand for tea in the market has decreased, resulting in a decrease of Rs 30-40 per kg in the price of our highest-selling second flush tea. Additionally, due to the heatwave, we have had to spend extra on artificial irrigation to maintain the moisture of the tea leaves. 

The production of tea leaves has significantly decreased by 10 per cent during April, compared to the previous year. Moreover, from June wages have increased by Rs 18 which the gardens have to pay to the workers. 

The losses incurred by the gardens cannot be fulfilled by rain alone.” The President of Confederation of Indian Small Tea Growers’ Associations (CISTA), Bijaygopal Chakraborty said: “Last year, we used to sell raw tea leaves of the second flush at around Rs 33 per kg to the bought leaf factories but now we are getting Rs 15-18 less.” 

Chakraborty said: “A long-term plan was discussed during the Tea Board’s final board meeting to address the issue of the price of green tea leaves. It was decided to form a fact-finding committee in each small tea plantation in the affected state. However, this decision has not been implemented yet. 

There is concern that if the Tea Board does not take immediate measures at the governmental level, there is a high risk of significant losses and potential closure of small tea gardens. Urgent actions are needed to prevent the situation from further deterioration.” 

Birendra Bara Oraon, President of the tea garden workers’ union of Trinamool Congress (TCBSU) emphasised: “If a tea garden incurs losses, it affects the workers as well. The state government has done a lot for the tea gardens, but the Tea Board needs to address these issues.” 

https://www.millenniumpost.in/bengal/double-whammy-n-bengal-tea-gardens-hit-by-price-crash-decrease-in-production-518123