Rs.93 CRORE WORTH NEW SCHEMES FOR TEA CLEARED
Date : 26 May 2005
Location : New Delhi
Cabinet Committee on Economic Affairs today gave its approval for implementing the following schemes involving a total estimated outlay of Rs.93 crore from the special fund created with the collections of additional duty of excise on tea, as recommended by the Expenditure Finance Committee:
Grant of subsidy for production of orthodox tea @ Rs.3 per kg. for leaf grades and Rs.2 per kg. for dust grades for existing levels of production with additional incentive @ Rs.2 per kg. for the incremental volume over the previous year from 1st January 2005 to 31st March, 2007.
Meeting the actual deficits of the two Research & Development Institutions viz., Tea Research Association (TRA) at Tocklai (Assam) and United Planters’ Association for Southern India – Tea Research Foundation (UPASI-TRF), Tamil Nadu, for a period of five years w.e.f. 2004-05 subject to the maximum of 80% of the expenditure on already agreed items of expenditure, of which 49% would be met from the normal Plan outlay of the Tea Board and balance from the special fund.
Shri Kamal Nath, Union Minister of Commerce & Industry, has said that: “Implementation of the above schemes is going to contribute towards the overall modernisation and development of the tea plantation sector. This will impart vigour and health to a number of individual gardens and also the industry as a whole in terms of increase in production, productivity, quality, higher unit value realisation, exports etc. There will also be additional support for research in tea, which would be helpful to the industry”.