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Centre�s support to tea sector shrinking

By AJIT PATOWARY

GUWAHATI, Aug 20 - The Central Government seems to be withdrawing from the responsibility of extending support to the tea research institutes. Moreover, it is alleged that there has been a 76 per cent cut in the budget estimates under Plan Head for the tea sector.

The support to the tea industry is routed through the Tea Board. Financial assistance to the tea research institutes � Tea Research Association (TRA) and the Tea Research Foundation (UPASI TRF) � operating respectively in the North-East, North India and South India, is one of the components of such support.

Tea industry is one of the biggest industries in India, providing direct employment to 1.5 million people and around two per cent of the country�s 1.25 billion people are associated with this industry � directly or indirectly.

Tea industry and the Union Commerce Ministry have been jointly funding the TRA and the UPASI TRF. The TRA is now extending support to 1,076 tea estates of the North-East and North India, while UPASI TRF is extending support to around 150 tea estates of South India.

TRA sources said since 1964 to 1989, the TRA was funded by the CSIR under the Ministry of Science and Technology. From 1990 onwards, deficit funding to the TRA has been done by the Ministry of Commerce through the Tea Board of India. Currently, the tea industry funds 60 per cent of the total TRA budget.

Significantly, in the 11th Plan, the funding head for Tocklai was changed to the Plan Head and 80 per cent of the Tocklai salaries and others came from the Central Government. However, the 12th Plan for the tea industry was approved in December 2014 and funding to Tocklai on salaries was kept at 49 per cent and balance 31 per cent was supposed to have been given through R&D projects. Then, major cuts were made by the Ministry in 2015-16 and 2016-17 on allocation of funds to the Tea Board on various heads, including research.

An amount of Rs 33.97 crore is due to Tocklai from the Tea Board. This consists of the dues on funds not released on account of 31 per cent of salary, since April 2012 to December 2014, funds for research projects and Rs 2.64 crore on account of pesticide residue tests.

The Parliamentary Standing Committee on Commerce, headed by Rajya Sabha MP Chandan Mitra, in its 125th report on demands for grants of the Department of Commerce, has taken a very strong view on the 76 per cent cut in the budget estimates under the Plan Head for the tea sector and has advised the Department of Commerce to take up the matter with the Ministry of Finance.

Although the tea industry members of Tocklai have increased their allocation by 100 per cent to meet the shortfall, there still remains a deficit of around 30 per cent of the budget.

TRA Chairman Arun Singh has stated that they have been trying to augment its revenue through different revenue generation models in the past few years. Lok Sabha MP from Jorhat, Kamakhya Prasad Tasa, is also trying to help Tocklai tide over the crisis. He has taken up the matter in the Parliament. He has also written to the Union Commerce and Industries Minister Nirmala Sitharaman, too. But till date, no enhanced allocation has been made for supporting the tea research institutes.

Tea industry here wants the State Government to take up the issue seriously with the Centre.

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