Tea estates want eco-tourism, crop diversification
By PK Krishnakumar, TNN |
Highlights
KOCHI: Faced with declining yield and mounting cost of production, the tea plantations in Kerala are demanding setting apart 20% of the estates for the promotion of eco-tourism and growth of other crops as it can lead to generation of additional revenue and employment in the estates.
The Association of Planters of Kerala (APK) reckons that about 70% of the tea bushes in the state are more than 130-year-old and need replanting. The current subsidy of 25% granted by Tea Board is inadequate as the cost of replanting will be around Rs 5 lakh per hectare, sources said.
It is in this situation that tea plantations are avidly arguing for increased land for promotion of eco-tourism and growth of other crops jatropha, bamboo and grapevine in the estates without affecting the crop. The Plantation Labour Committee under the previous UDF government had sanctioned use of 5% of the estate area for these purposes.
But it requires President���s assent for amendment of Land Reforms Act and Land Utilisation Order. However, the present LDF government is not too keen on APK���s demand for setting apart 20% of the estates for alternative revenue generation as it fears that plantation could be given second preference. But they have promised to help in getting 5% of estates for the purpose, sources said.
The tea plantation in the state is spread over 37,110 hectare with a production of 50,100 tonne and provides employment to over 1 lakh people. Already 22 estates have folded up due to financial crisis. In 2005, the yield was 1,327 kg which entails a higher cost of production of around Rs 77, the main component of which is wages, one of the highest in the country.
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The tea prices are ruling in the range of Rs 50 to 60 per kg now. For replantation in 70% of area and rejuvenation of another 10% of area, APK wants a subsidy of 50% with balance 50% as soft agricultural loan with a seven year moratorium on repayment of loan. Another issue, which has pushed tea plantations to go after alternative measures to increase revenue, is a proposed hike in the minimum wages, which is pending before the court. According to the planters, it will push up the cost of production by another Rs 7 per kg if implemented unless linked to productivity.
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