26th July, 2002
Ministry of Commerce & Industry


PRICE STABILISATION FOR CASH CROPS


There is a project worth Rs. 300 crore or more for price stabilization and other matters in relation to rubber, coffee, tea, spices, etc., under consideration of the government. Operation of a Price Stabilisation Fund is a new concept requiring in depth assessment of complexities in consultation with many agencies such as producers, processors, exporters and financial institutions like NABARD, commercial banks and economic experts. It will also depend upon participation by willing producers who will be required to contribute to the Fund when prices of commodities are favourable and who will benefit when the prices are low. This was stated by Shri Rajiv Pratap Rudy, Minister of State for Commerce & Industry, in a written reply in the Lok Sabha today.

In another reply, Shri Rudy said the Tea Board has stressed the need for improvement in productivity of tea in Darjeeling with quality improvement through long-term development measures and through improved manufacturing techniques. A Techno Economic Survey of Darjeeling Tea Industry was undertaken by the Tea Board during 1998-99 to look into the various problems of Darjeeling Tea industry based on an on-the-spot study of suitably selected sample gardens. The main problems identified were over-aged bushes, low productivity, declining profitability, lack of uprooting and replanting, top soil erosion, lack of adequate finance etc. The recommendations made in the Survey include extension of planting & replanting, suitable infilling programmes, uprooting and replanting programme in low yielding estates, rejuvenation and consolidation with inter – row planting, judicious application of herbicides, adoption of latest R & D in field and cultural practices for qualitative upgradation and growth of production, upgradation of processing and packaging machinery, measures to enhance labour productivity, greater emphasis on essential field operations specially in small tea estates and improvement of basic infrastructural facilities. It has also recommended that generic promotion of Darjeeling tea in India should be initiated to increase domestic consumption of such teas. A sample of 46 tea estates representing 54% of the total number of tea estates were chosen for the purpose of the Survey. The sample was done by statistical method with proportional representation of various holding sizes and status of ownership. The Survey revealed that on an average, 49% of the total grant area was available for cultivation.

   
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