TN govt bails out tea co-ops

The Tamil Nadu govt. has given Rs 5 crore to the Tamil Nadu Small Tea Growers’ Industrial Cooperative Tea Factories’ Federation (INDCOSERVE) to help them tide over their financial crisis, reports New Indian Express.

This financial help would be given to the 13 industrial cooperative tea factories to settle the green leaves cost to be paid to small tea growers of the Nilgiris district till April 2022.

The special grant has been approved subject to the conditions that INDCOSERVE and industrial cooperative tea factories put in efforts to enhance the quality of leaf procured and work together with the Tea Board to ensure reasonable prices are determined for tea leaves.

Sources say the difference in the price paid to the tea growers and the workable rate, the obsolete machinery, and the poor quality of leaf procured over the years have pushed industrial cooperative tea factories into a financial crisis.

 

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