Lok Sabha Question No. 1426 (UNSTARRED), answered on 2021-02-10
Subject: Problems Faced by Tea Industry
Ministry: COMMERCE AND INDUSTRY
Asked by: Sisir Kumar Adhikari

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY

(DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 1426 TO BE ANSWERED ON 10 th   FEBRUARY, 2021

## PROBLEMS FACED BY TEA INDUSTRY

## 1426. SHRI SISIR KUMAR ADHIKARI:

Will the Minister of COMMERCE &INDUSTRY ( वा�ण�य एवं उ�योग मं�ी ) be pleased to state:

- (a) whether it is a fact that the tea industry in the country is under severe stress due to various reasons like rise in production costs and stagnation in prices, among others;
- (b) if so, the measures taken/being taken by the Government to tackle the said problem;
- (c) whether  the  Government  would  consider  announcing  special  measures/benefits  for improving the conditions of tea labourers of the country; and
- (d) if so, the details thereof and if not, the reasons therefor?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI HARDEEP SINGH PURI)

- (a) & (b) : While the tea Industry is sensitive to fluctuation in the cost of various inputs like raw  materials, wages  and  the  demand-supply  scenario, tea  production  in  India  is showing a stable trend.  It increased from 1325 M.Kgs. in 2017-18 to 1360 M.Kgs. in 2019-20.

The production cycle of tea was affected during the initial period of the Covid related lockdown, particularly in the months of March - April, 2020. However, the production of tea  has  improved  from  May,  2020  onwards  after  the  plantation  sector  resumed operations.  This disruption resulted in decline in production to the tune of 105.21 M.Kgs. during April to December 2020 as compared to corresponding period of previous year. During  the  current  year  2020-21  (April 20-January  21),  the  auction  price  of  tea  has increased by Rs.59.73 per Kg over the corresponding period of previous year, which should ensure better financial outcomes for the tea sector and help it to recuperate.

The Government, through the Tea Board, is implementing the 'Tea Development & Promotion Scheme' for providing financial assistance to the tea industry in the country. The scheme focuses on increasing productivity, quality, value addition, orthodox tea production, and formation of Self Help Groups and Farmer Producer Organisations. The

Tea Board provided financial assistance of Rs.384.85 cr. to the tea industry from 2017 18 till January 2021.

(c)  &  (d):              The  working  conditions  of  tea  garden  workers  are  governed  under  the Plantation Labour Act (PLA), 1951 and enforced by the state government concerned.  The workers  and  their  dependents  are  provided  basic  welfare  services  and  amenities  e.g. housing, medical and primary education, water supply, sanitation etc. under the Plantation Labour Act, 1951.  Apart from PLA, workers of the tea industry are also covered by various industrial and social security legislations such as Workmen's Compensation Act, Payment of Gratuity Act, Provident Fund & Miscellaneous Provisions Act, Payment of Bonus Act, Maternity Benefit Act, Payment of Wages Act, Equal Remuneration Act, Industrial Disputes Act, Factories Act and Industrial Employment (Standing Order) Act, 1946.

The Tea Board also extends certain welfare  measures  to tea workers and their wards/ dependents, which are supplemental in nature. Tea Board has disbursed an amount of Rs.17.72 Crore during the period from 2017-18 till January 2021 for the benefit of Tea garden workers.

In additional the Central Government has announced a scheme in the Union Budget 202122 for the welfare of Tea workers, especially women and their children, in Assam and West Bengal with a total outlay of Rs.1,000 Crore.

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