Starting December, the domestic tea industry will cease its plucking operations. Plagued by falling prices for the last three years, the tea industry has decided to cut its production by 20 million kg, Consultative Committee of Planta-tion Associations (CCPA) said.

“Producers in North India will stop plucking operations with effect from December 1, 2001 in the Assam Valley and December 7 in respect of Dooars, Terai and Barak Valley and this is expected to reduce supplies by around 20 million kg. Similar efforts are likely to be initiated in South India around their own lean season,” Bharat Bajoria, chairman of CCPA said in a statement.

The moratorium in production would also improve quality, assisting growers in fetching better prices, the statement said.

Last year, the growers had closed the season in the third week of December, but this time it has been decided to advance the date by a few weeks, it said.

Bajoria said this move would not create a shortage in the country as “there is clear evidence of ample stocks in all the auction centres at levels substantially higher than last year’s.”

CCPA will also impress upon small growers and bought leaf factories operating in North India to adopt a similar action, he said and added “this will ensure a better price for green leaf prices in the new season.”

The association has also decided to increase the output of orthodox tea to address the unfavourable orthodox-CTC product mix which is hindering exports.

Bajoria added, “the CCPA is targeting an additional 20 million kg of orthodox output for North India in 2002 and will draw up a detailed plan for conversion of CTC manufacture to orthodox in the next one month.”

The Tea Board has approved a scheme for 25 per cent capital subsidy for purchase and instalation of orthodox machinery for implementation in the Tenth Plan period.