Assam tea industry is passing through a critical juncture following continuous decline in production of the organised sector, low prices and huge rise in cost of production, the North East Tea Association said on Sunday.
“Workers’ wages along with significant hike in input costs, like electricity, gas, coal, fertiliser, plant protection formulations, irrigation etc. Have led to a huge rise in the cost of production while tea prices have not been able to keep pace with this rise,” NETA Chairman Bidyanand Barkakoty said at its 17th Biennial General Meeting held at a resort in Kaziranga on Sunday.
He also urged the Centre to carry out a comprehensive study on the sustainability of the tea industry. Workers’ wages constitute about 60 per cent of the total cost of production. The hike of Rs43/- per day in the cash wage over a period of three years, with effect from January 2015, has brought about a huge impact on costs.
The Chairman also showed concern over incidents of assault on professional planters which may deter young talented people from entering the industry.