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Bengal tea sector hit as workers strike work

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Crisil Marketwire Kolkata
Operations in over 300 tea estates in West Bengal were hit on Monday following an indefinite strike called by Coordination & Defence Committee, an umbrella organisation of various trade unions in the industry. The trade unions are demanding wage revision for workers, due since March 2003, industry and union officials said.
 
"The strike is so far peaceful and there is no report of any disturbance.The agitation is likely to continue at least for the next 4-5 days as we have not heard anything from the state government on any further round of talks with the workers," Indian Tea Association secretary Monojit Dasgupta said.
 
However, Bought Leaf Factories and essential services like hospitals managed by the estates have been exempted from the purview of the strike, Dasgupta said.
 
The last tripartite meeting on July 5 was inconclusive. The trade unions had refused to accept management proposal of linking hike in wages to productivity. The strike is being observed in Darjeeling, Dooars and Terai regions of the state, which produces more than 30 per cent of the country's total tea output.
 
"If the strike continues for 10 days, the cash-starved industry's problems will compound," chairman of West Bengal Regional Committee of Indian Tea Association and Managing Director of Goodricke Tea K S David said.
 
At a conservative estimate, the stir will cause a loss of production to the tune of one million kilograms per day. This would translate into a monetary loss of Rs 6 crore, he said.
 
In July 2004, West Bengal had produced about 26.5 million kg tea. July is considered to be the peak plucking season with the maximum quantity of quality tea being produced in the month.
 
Nearly 253,000 workers, including some casual workers, are directly employed in tea industry of West Bengal.
 
Another 350,000 are indirectly dependent on it. The sector is passing through a difficult phase over the past 4-5 years due to rising cost of production and falling prices. Tea is also one of the leading foreign exchange earners for the country.
 

TN govt annonces scheme for small planters

In order to protect small tea planters of the Nilgiris district, who have been adversely affected by the fall in tea prices in the international market, the Tamil Nadu Chief Minister J Jayalalitha today announced a scheme under which, they will be paid a subsidy of Rs 2 per kg of tea produced and sold.

Under the 'Small Tea Planters Protection' Scheme, planters owning up to 25 acre would get a subsidy of Rs 2,800 per acre for six months from July onwards. This would benefit over 60,000 farmers and cost the exchequer Rs 28 crore, she said in a statement here.

Jayalalitha also demanded changes in the Centre's price stabilisation scheme under which, farmers were not getting even Rs. 1,000. This scheme did not help the Niligiris' tea planters, she said, adding that it should be revamped.

She said, she had written to Prime Minister Manmohan Singh, requesting that the centre compensate the state for the expenses incurred under the scheme.

DMK president, M Karunanidhi had shot off a letter to the PM on Saturday demanding that the interests of tea planters in the Nilgiris district be protected.

 
 

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First Published: Jul 12 2005 | 12:00 AM IST

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