The Hindu : Business : Centre watching tea prices

Online edition of India's National Newspaper
Friday, Aug 26, 2005

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Business

Centre watching tea prices

Special Correspondent

STC, MMTC to participate in auction

NEW DELHI: The Centre on Thursday assured the Lok Sabha that it would discuss the issue of decline in tea prices, especially in South India, with MPs and others, including stakeholders to evolve a viable solution. He was prepared to undertake a visit to the areas where the prices had gone down.

Sharing concern expressed by members, the Union Commerce and Industry Minister, Kamal Nath, said the Government was keeping a close watch on the situation. The Minister was responding to a calling attention motion moved by K. Subbarayan and R. Prabhu on falling prices, especially in the Nilgiris hill district. Mr. Kamal Nath said he would also ask State Trading Corporation and Minerals and Metals Trading Corporation to participate in tea auction to ensure proper pricing.

Maintaining that the quality of tea ultimately depended on the green leaf plucked and supplied, he said it had become necessary to enforce quality norms which conform to standards laid down under the Prevention of Food Adulteration Act.The Minister said in order to address the quality, the Tea Board had launched a quality awareness programme in July 2000 in the Nilgiris and it was being continued.

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