Chief minister J. Jayalalithaa on Friday announced a host of measures to boost the tea industry in the state.
According to an official release, Ms Jayalalithaa ordered the release of `6 crore towards increasing the workable rates given to small tea growers up to `2 per kg of tea leaves procured by cooperative tea factories in Nilgiris till the year-end.
Pointing out that the workable rate given to small tea growers presently is low compared to the market rates, due to the old machinery in the cooperative tea factories, the chief minister ordered to adjust the workable rate on par with the market rates, so that growers will not be affected, the release said.
The two-rupee hike in the workable rates given to small farmer members of cooperative tea factories will be for July-December, 2012 period, the release added.
The CM also allocated Rs 5.46 crore subsidy to enhance the production capacity of 12 cooperative tea factories in Nilgiris, whose production capacity was low owing to the use of old machinery.
The chief minister has also permitted state-owned tea producer INDCOSERVE to spend Rs 54 lakh from its fund to renovate its old buildings.
Early this March, the chief minister hiked the price of tea procured from 22,000 farmer members of the 15 cooperative tea factories in Nilgiris by Rs 2 to Rs 8 per kg of tea leaves.