The closure of the Darjeeling tea estates, now in its thirteenth day, may ring the death knell for an industry which is passing through a critical revival phase, industry officials said.
The industry has remained closed since June 9 on account of the turmoil in the hills.
The June to mid-August period is a crucial time that yields the premium second flush teas, which contribute about 20% of annual output and about 40% of the Darjeeling tea industry’s revenue.
Second flush output
The industry is looking at “nil” production of its premium second flush as the plucking round has been totally destroyed and green leaves have become unusable, industry officials said.
“They will have to be plucked and destroyed,” an industry official, who did not wish to be named, said.
Industry estimates a direct loss of more than ₹100 crore and an indirect loss of about ₹150 crore. “This would make the industry totally unviable and may trigger closures even after normalcy returns,” the official said.
Darjeeling Tea Association (DTA) chairman Binod Mohan has urged the Tea Board to provide a one-time grant to help industry tide over this situation.
Non-availability of ‘Season 2017 premium 2nd flush Darjeeling Tea’ in the global market is a blow to its brand-equity and industry fears a permanent damage to the future market and value of the premium tea.
Further period of closure shall cause permanent damage to this heritage Darjeeling Tea Industry which will be irreparable.
In an appeal, issued on Thursday, DTA , the industry apex body said that it is passing through a critical phase of revival with new and fresh investments having been made by entrepreneurs to take over sick and abandoned tea estates to make them operational.
However, the industry is still economically weak and vulnerable and this closure will cost the industry dear, jeopardising the livelihood of more than a lakh people associated with the industry. Of the 60,000 direct workers, a majority are women.
In a letter to Tea Board Chairman P K Bezbarooah, Mr. Mohan also suggested that the regulatory body depute a high-level delegation to assess the damage caused to the industry.
