Times b2b HomeTimes b2b Home
 
       
 
    Channels
Cover Story
 
OCT - NOV 2003
#
#
#
#
#
#
#


The precarious pluck

Shuchi Srivastava confronts the labour crisis that threatens to cripple the tea industry, in conversation with G Sanjeeva Reddy, President, Indian National Trade Union Congress

What do you attribute as the reason behind the mounting labour problem in the tea gardens all over the country?

We must understand that the industry per se is not as strong as it used to be. The tea gardens are increasingly loosing international markets in face of stiff competition from African, Japanese, Chinese and Sri Lankan teas. This kind of a crisis assumes a pattern where it surfaces whenever the global markets start to slump.

The domestic market too is not really encouraging it is in fact very depressed?

That is a result of our wholehearted acceptance of cheap quality tea from Sri Lanka due to the Free Trade Agreement that has been forged between the two countries, which is especially adversely affecting the southern tea gardens. The same holds true for tea imports from African countries like Kenya. In turn such high levels of competition first affects the profitability of the business and then consequently the role of labour is questioned. The management cadre does not really suffer due to their engagement in other businesses and their ability to divert funds into other organisations.

The domestic industry has been lamenting that they are unable to meet their overheads let alone incur profits due to the hugely depressed local prices, which makes the maintenance of large labour forces inviable? What do you think?

I attribute this eventuality to stiff competition that Indian tea faces from other tea growing nations especially because the stakes are in their favour from the word go, because our teas are extremely expensive and do not justify its claim of being of superior quality. This is a crucial area where the management in charge of making such decisions is not being able to rationalise its price to make it competitive. The only argument put forward in face of escalating prices is that Indian tea is of superior quality like Assam and Darjeeling tea, which are costlier even when compared to the teas from the southern tea estates. A fact, that is not palatable to the highly volatile market, which requires competitive pricing.

Representatives from the industry have been repeatedly reiterating that unlike the earlier days where prices were peaking, the condition has taken a turn for the worst and labour costs only add to their woes?

This is not a new complaint and, we must not loose sight of the fact that an experienced labour force is an asset when it comes to intelligent and concentrated plucking. The tea industry was traditionally considered a seasonal industry where the labour was employed as and when the need arose. But eventually the garden owners realised the benefits of an experienced labour force and wanted to employ one permanently. Thus the currently prevalent provisions were made to facilitate the needs of the industry and not due to any undue sympathy towards the workers.

But the industry holds that they have to incur extra costs of maintaining the labour by providing them with housing, medical and educational facilities. How fair do you think this is?

I don’t really think that all the labour employed in tea gardens across the country are privy to such privileges. Tea gardens are...

.....CONTD

TO READ FURTHER... SUBSCRIBE TO YOUR COPY TODAY!!!

 

 

Other B2B magazines
The Machinist
The Machinist
Times Shipping Journal
Times Shipping Journal
Times Journal Construction and  Design
Times Journal of Construction & Design
Instrumentatio & Control
Instrumentation & Control Journal
Fluid Power
Fluid Power
Times Food Processing Journal
Times Food Processing Journal
ET Polymers
ET Polymers
Times Agriculture Journal
Times Agriculture Journal
Retail Biz Retail Biz
Copyright © Bennett Coleman & Co. Ltd. • All rights reserved • Disclaimer
Other Times Group Sites - The Times Of India | The Economic Times | ET Invest | ETintelligence | Femina | Filmfare | Navbharat Times | Times Classifieds | Property Times | Education Times | Maharashtra Times | Responservice | Indianadsabroad | Jobs & Careers | Times Multimedia