MINISTER OF COMMERCE AND INDUSTRY (SHRI ANAND SHARMA)
(a) & (b): The depressed price situation since mid 1999 coupled with other factors
like high costs of production, sluggish rate of growth in domestic demand and fall
in exports had adversely affected the viability of tea gardens, particularly the
medium sized and financially weaker ones, resulting in closure/abandonment of some
tea gardens in the country.
As on 1st April 2007, the number of closed tea gardens was 33 viz.,
Assam: 2; West Bengal 14; and Kerala 17. Subsequently two more gardens in West
Bengal were added to the list. However, 31 gardens have reopened since then and as
of date, only 4 gardens - two each in West Bengal and Kerala remain closed.
These 4 gardens are involved in litigation.
During the last three years only one tea estate in Assam (Bhuvan Valley tea estate)
was closed on 08.10.11. The area of the tea garden and the number of workers are
403.47 hec. and 475 respectively. However, the garden was reopened on 09.02.12.
The details regarding the tea gardens that still remain closed are as under :
Sl.No. State Name of tea Date of closure Area of No of workers estate cultivation (ha)
1 West Bengal Dheklapara March,2006 197.37 604
2 -do- Ringtong February,2008 388.12 837
3. Kerala Pirmed December,2000 529.55 491
4 -do- Lone Tree December,2000 500.01 648
(c): Government of India had notified a rehabilitation scheme aimed at revival
of the closed Tea Gardens for the XI Plan period. This scheme provided for
restructuring of bank loan, interest subsidy on working capital, deferred payment of
PF dues, waiver of outstanding loans under erstwhile loan schemes of the Tea Board
and according priority for providing developmental assistance under Tea Baord Development Schemes.
The initiatives taken by the Tea Board under the rehabilitation scheme, inter alia, include:
i. Facilitated a series of meetings between the owners, financing bankers and
other stakeholders for reopening the closed estates;
ii. Paid Rs. 73.18 lakhs to Dena Bank being 1/3rd contribution for settling the
accumulated interest on the bank loan availed by one of the closed tea gardens in Kerala;
iii. Written off Rs. 4.81 crores on account of the loans availed by the closed
tea gardens under the erstwhile loan schemes of Tea Board; and
iv. Relaxed eligibility norms for availing of financial assistance under
developmental schemes
In addition, the Board provided lump–sum grant amounting to Rs. 3.67 crores
@ Rs. 1000 per worker for educational support for wards of workers during 2007-08
and 2008-09 from its Human Resource Development Scheme.
