The new wages prescribed in Kerala for plantation crops has come at a time when the industry is reeling under low prices and high costs, president of the United Planters’ Association of Southern India (UPASI) N. Dharmaraj has said in a press release here on Tuesday.
Coffee
sector
In tea and coffee sector, the wage increase along with statutory benefits will result in an increase to Rs. 436 a day.
The present hike in wages in tea sector is over 30 per cent.
“Plantation in south India are not against paying higher wages but the current economic realities coupled with the plethora of taxes and levies does not make it a viable proposition,” he said.
Many plantations might be forced to reduce the workforce to sustain operations. Already seven estates and 14 factories are remaining closed in Kerala.
The State produces 67 million kg tea, 68,000 tonnes of coffee, and 5.65 lakh tonnes of natural rubber.
Mr. Dharmaraj urged the Kerala Government to have discussions with the industry to finds ways to neutralise the additional costs that has to be borne by the plantation industry.
