He stressed that these studies were particularly necessary for a fuller appreciation of the marketing structure of tea so that producers were able to derive the maximum value for their produce.
Mr. Saptarishi supplemented these observations by stating that a major point of discussion would be on whether to bring back some control on sales through auction under the TMCO.
Thanking the ministry for its continued support, Mr. Bajoria mentioned that initiatives such as commissioning the Accenture and A F Ferguson studies have provided important inputs to the industry and trade to sharpen their focus of future operations.
The ITA Chairman said that kickstarting reforms in auctions were a prime need to bring back confidence in the system and keep it relevant as an efficient and fair mechanism of price discovery. He mentioned that given the constraints and rigidities in implementing changes within the framework of a tripartite auction system, the ITA had commissioned a study on 'alternate-efficient auction system' that could attract all segments of trade. A preliminary report was expected to be tabled by June-end, which would be presented to various sections of the trade and State Governments, he added.
Mr. Bajoria urged that there should be no mandatory sale stipulation under the TMCO and producers must be left to freely determine their sale channels.
He said that quality upgradation must be pursued with ample vigour in an effort to weed out sub-standard tea from the system which was causing a major oversupply situation in the plainer categories of tea, reiterating that ITA favoured a mandatory declaration of 'Tea Waste' and an effective monitoring mechanism.
Mr. Bajoria said exports must be given a strong thrust and, in this regard, ITA favoured continuance of subsidy on Orthodox and packet tea exports and extension of the subsidy to cover incremental CTC exports. He also stated that ITA had consulted some major producer-exporter

Mr. Prabal Choudhury (centre), Chairman, Panitola Circle, Mr. H.K. Sarmmah (left), Vice-Chairman and Mr. R.K. Barooah (behind), Adl. Vice-Chairman, ABITA, at the harvesting of 'Ranjit' variety of paddy at Chabua.

members obtaining a commitment to enhance their exports in 2002 by 15 per cent over the previous year's levels.
He also urged the Government of India to explore the possibility of bilateral initiatives to push teas out of India and mentioned that the Tea Board and ITA were currently looking to mount such initiatives in Afghanistan.
Mr. Bajoria stressed that despite Indian tea prices being competitive, vis-à-vis Sri Lanka and Kenya, in US dollar terms, exports in 2001 witnessed a sharp decline by 26 mkgs. It would be imperative for the industry to push up exports by 30 mkgs (taking into account that imports for re-exports have already reached a level of 17 mkgs).
On the domestic front, Mr. Bajoria informed the ministry officials that the prevalence of an oversupply situation, particularly in the plainer categories, has led to depressed prices for the third successive year. The average auction trends on a financial year basis revealed that tea prices in north India during fiscal 2001-02 had declined by over Rs 12 per kg compared to 2000-01 quotes. He urged stepping up of promotion campaigns with the active assistance of the Tea Board and the Ministry of Commerce.
The Chairman had identified some broad financing issues which need to be moved with the commercial banks and follow-up steps were being taken, vis-à-vis the Reserve Bank of India (RBI) and Indian Banks Association (IBA).
It was also stated by the Ministry of Commerce representatives that the Government of India was in favour of allowing foreign direct investment (FDI) to the tune of 100 per cent in the plantation sector, the approval for which was likely to come through the Foreign Investment Promotion Board (FIPB) route.
The ministry took note of the utilisation pattern of Sec 33AB funds for developmental activities. It was also noted in this connection that there had been significant withdrawals in the last financial year and that substantial funds had been invested in re-plantation, rejuvenation and infilling activities though this was by way of revenue expenditure.

Senior deputy director, National Productivity Councir, Mr. Gautam Roy addressing delegates at the Supervisory Development Programme. Also seen in the picture are DBITA Secretary, Mr. P.K. Bhattacharjee (centre) and DBITA Chairman Mr. P.K.Arora.