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Rs
7/kg on export-linked production of the premium variety.
We would urge the Government to consider the submission
favourably and take an early decision,” he said.
He said the Tea Board study on ‘Primary Market
of Tea’ was to examine the auction system and
determine whether it was in consonance with the fostering
of market competition and suggest changes towards
lowering transaction and time costs which were rendering
the auctions unattractive. To that, he added: “The
ITA has consistently maintained that while the auction
system has served the industry well in the past and
will be taken recourse to by producers, it should
not be mandated as a channel of sale by compulsion.
Producers should be free to choose their channel of
sale and derive the best possible value at the least
cost through free exercise of that option.”
The high social welfare cost, cast by statutory provisions,
have led to India becoming uncompetitive in the world
tea market vis-a`-vis other producing nations who
are not burdened with such provisions, said Mr. Bajoria. |
“An
Inter-Ministerial Committee, set up under the Tripartite
Committee on Plantations, has recommended that the
Government of India and the state governments should
bear 50 per cent of the social infrastructure cost.
This recommendation needs to be urgently acted upon
and appropriate modalities should be worked out so
that the tea industry is able to substantially reduce
its cost burden The state governments should accordingly
evolve schemes in consultation with the Ministry of
Labour and Commerce and the industry.”
Mr. Bajoria invited workers, unions and state governments
to address, on a priority basis, labour issues such
as improvement of productivity and providing flexibility
to the industry to rationalise manpower wherever required.
“In the present scenario, every tea estate must
have flexibility in deciding the total number of labour
required and should not be bound to maintain a mandatory
strength by virtue of any past agreement. Tea estates
must be allowed to rationalise manpower by natural
wastage and by reducing the labour strength in those
cases where land-labour ratio is high.”
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