Boost for Tea Development: Government Enhances Funding by 82%

The Tea Development and Promotion Scheme received a significant boost as the government announced an 82% increase in allocation, totaling Rs 528.97 crore for the next two financial years. This scheme aims to bolster the production and quality of tea through various initiatives.

Enhanced Support for Tea Development

The government, under the stewardship of Amardeep Singh Bhatia, Additional Secretary in the Department of Commerce, revealed plans for substantial investment in tea development. Bhatia announced the proposal to establish 800 self-help groups and 330 farmer-producer organizations (FPO) during the financial years 2024-2026.

Financial Years Allocated Outlay (in crores)
2024-25 Rs 290.81 crore
2025-26 Rs 528.97 crore

This increase represents a significant jump from the previous outlay of Rs 2.7 crore, now escalated to Rs 105.5 crore. Bhatia highlighted the specific objectives of this enhanced funding, emphasizing the promotion of Indian tea in both domestic and international markets.

Promoting Indian Tea Globally

With an increased allocation of Rs 72.42 crore for tea promotion, the government aims to elevate the status of Indian tea on the global stage. Furthermore, Rs 40 crore has been earmarked for the establishment of blending and packaging units to add value to the product.

Focus on Value Addition and Export Promotion

Bhatia outlined the strategic objectives of the scheme, focusing on enhancing exports, particularly in value-added segments, and encouraging the consumption of quality tea. To achieve these goals, the scheme incorporates technological interventions such as precision farming, drone surveillance, traceability, blockchain, and digitization of Tea Board activities.

India’s Position in the Global Tea Market

India holds the prestigious position of being the third-largest tea exporter globally. However, recent statistics show a slight dip in exports by over 4%, amounting to USD 673 million during April-January of the fiscal year.

This surge in funding reflects the government’s commitment to revitalizing the tea industry and ensuring its competitiveness in the global market.


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