TAI: Tea sector in North Bengal is in crisis

Leading producers’ association Tea Association of India (TAI) stated that a serious crisis in the North Bengali industry is forcing several gardens to abandon their doors.

According to TAI Secretary General P K Bhattacharjee, about 13 to 14 tea gardens in North Bengal’s Dooars, Terai, and Darjeeling regions closed down in October 2023, affecting around 11,000 workers.

TAI stated that the financial situation that the 300-odd gardens, including organized ones and bought leaf factories (BLF), are suffering has been exacerbated by the West Bengal government’s April salary hike. Every year, the region produces over 400 million kilograms of tea.

North Bengal has roughly 300 tea gardens, 15 of which are closed.

TAI stated that the industry is suffering a rapid increase in input costs such as fertilizer, coal, and chemicals, while price realizations at auctions have been much lower.

The union also stated that the sector has already held talks with the West Bengal government to help alleviate the industry’s financial troubles, particularly during the upcoming winter when plucking is completely halted at the gardens.

As per the TAI, the price realized at the Siliguri Tea Auction Committee in October 2023 was Rs 165 per kilogram, compared to Rs 182.81 per kilogram in the same month in 2022.

According to Tea Board data, overall production in India in September 2023 was 162.90 million kilograms, down from 195.69 million kilograms in the previous equivalent month.

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