KOLKATA: India's leading B-school IIM-Bangalore has been entrusted to devise the revamping of the present tea auction methodology for improved price discovery.
A tea business supply mentioned that the Tea Board has shaped a special committee and put the process on rapid track mode.
The determination was once taken 25 days ago, the supply mentioned.
"Hopefully, price discovery will be better after the revamp, as the present prices in north India is making it difficult for the industry to survive," the supply mentioned.
In north India, costs will have to upward thrust through Rs 30 to Rs 35 in line with kg from the present flat ranges of Rs 153, as compared to south India, the place costs were up through Rs 30 in line with kg from the existing ranges of Rs 100.
"South Indian tea is cheap and poor in quality as compared to north India. Prices of such tea are rising because people are demanding cheap tea and marketers are making good efforts to make them saleable," he mentioned.
The supply mentioned that if costs don't building up in north India, many gardens would close down, as is going on within the Dooars area of West Bengal.
"Many gardens will become sick and close down," he mentioned.
Even the state of affairs in Assam is not excellent, he added.
The current e-auction machine started in early 2009 but has been confronted with system faults.
A tea business supply mentioned that the Tea Board has shaped a special committee and put the process on rapid track mode.
The determination was once taken 25 days ago, the supply mentioned.
"Hopefully, price discovery will be better after the revamp, as the present prices in north India is making it difficult for the industry to survive," the supply mentioned.
In north India, costs will have to upward thrust through Rs 30 to Rs 35 in line with kg from the present flat ranges of Rs 153, as compared to south India, the place costs were up through Rs 30 in line with kg from the existing ranges of Rs 100.
"South Indian tea is cheap and poor in quality as compared to north India. Prices of such tea are rising because people are demanding cheap tea and marketers are making good efforts to make them saleable," he mentioned.
The supply mentioned that if costs don't building up in north India, many gardens would close down, as is going on within the Dooars area of West Bengal.
"Many gardens will become sick and close down," he mentioned.
Even the state of affairs in Assam is not excellent, he added.
The current e-auction machine started in early 2009 but has been confronted with system faults.
IIM-B to use revamped tea e-auction system
![IIM-B to use revamped tea e-auction system]()
Reviewed by Kailash
on
January 01, 2019
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