The Hindu : Tamil Nadu / Chennai News : Teashop owners to close shutters on Friday

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Thursday, Jan 17, 2008
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Tamil Nadu

Tamil Nadu - Chennai

Teashop owners to close shutters on Friday

Staff Reporter

In protest against rising cost of 19-kg commercial liquefied petroleum gas cylinders

CHENNAI: About 10,000 tea stalls across the city that owe allegiance to the Chennai Metropolitan Teashop Owners Association will remain closed on Friday in protest against the rising cost of the 19-kg commercial liquefied petroleum gas (LPG) cylinders.

The association members also propose to take out a rally on the same day and submit a memorandum to the Chief Minister, highlighting the problems that they face on account of the increase in the price of the cylinder.

Addressing presspersons here on Wednesday, association president V. C. Damodaran said the tea stalls wanted commercial cylinder to be supplied to them at a “nominal price and on a non-profit basis.” The demand comes in the backdrop of the steady increase in the price of commercial LPG over the past six months. The 19-kg commercial LPG cylinder, which was sold for Rs.840 each in August 2007, now costs Rs.1,160, he said.

He complained that the national oil marketing companies were offsetting the subsidy of Rs.250 on the 14.2-kg domestic LPG cylinder by increasing the price for commercial cylinder. About Rs.500 is estimated to be the profit made on the sale of each commercial cylinder, he added.

Admitting that a large number of small teashops were using domestic cylinder until three months ago, Mr.Damodaran said, “we were told to shift to commercial LPG, failing which criminal action was to follow.” There are an estimated 15,000 teashops in the city, of which 60 per cent are small.

The members of the association said that besides the cylinder, the cost of tea dust and milk had increased forcing the tea stalls to raise the price of a cup of tea to Rs.3 six months ago.

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