Considerable enthusiasm marked the first anniversary celebrations of the launch of the electronic auction system at Coonoor on Thursday.
Participating as the chief guest, the Executive Director, Tea Board, R.D.Nazeem said that the adoption of the system has led to greater transparency and better price realization for all concerned especially the tea growers.
Adverting to the significance of the occasion, he said that Coonoor was the first place in the world to switch over to the E-auction system.
While the auction centres at Coimbatore and Kochi followed suit within a few months, Guwahati and Kolkatta joined them early this year.
Pointing out that only Siliguri was now continuing with the manual auction system, he said that it too would switch over to the E-auction system within two months.
So far 19 crore kilograms of tea have been sold through E-auctions in the country.
The system has brought cheer to the small tea growers.
Mr.Nazeem acknowledged the support extended by the buyers, sellers and auctioneers for introducing the system despite the fact that many among them had reservations about its benefits.
He added, “It is gratifying to note that South India has led the way not only in the E-auction system but also in the settlement banking system which has eliminated chances of default in payment.”
Disclosing that the white paper on extension of the E-auction system to the sale of tea waste was ready, he said that in a matter of time it would put an end to the misuse of tea waste particularly by some of the manufacturers of instant tea and organic manure.
A price-sharing formula for suppliers of tea waste and manufacturers of instant tea is in the offing.
The Vice President National Stock Exchange IT V.Rajaraman said that the successful implementation of the E-auction system in India has been taken note of in East Africa and Sri Lanka.
They were seeking guidance from India, it was pointed out.
The Chairman, Coonoor Tea Trade Association (CTTA) Utpal welcomed the gathering.