Smart Tea Conclave 2023: Where Technology Meets Tradition, 17th August 2023, The Park, Kolkata
The recently concluded Smart Tea Conclave 2023, held at The Park Hotel in Kolkata, proved to be a pivotal event in addressing the challenges and exploring the potential of the Indian tea industry. Focused on the Small Tea Growers and their revitalization through innovative strategies, the conclave provided a platform for constructive conversations and proactive problem-solving. Back in 2010, these growers contributed 18% of the tea leaves, a figure that has now surged beyond 50%. A study conducted by BDO indicates this proportion could escalate to 75% by 2030. Presently, India boasts around 300,000 small tea growers, with 100,000 hailing from Assam and 50,000 from West Bengal.
Highlighting several hurdles encountered by the Tea Industry, Mr. Subir Chakraborty, President, BCC&I; MD & CEO Exide Industries Ltd. articulated concerns including the proliferation of fake Darjeeling Tea and the absence of import tariffs on foreign tea. He emphasized that tackling these issues holds the potential to enhance the industry's resilience and lay the groundwork for a more robust and genuine trajectory ahead.
During his welcoming remarks, Mr. Jayanta Chakraborty, Chairperson of the Agriculture & Rural Development Committee at the Bengal Chamber of Commerce & Industry (BCC&I), provided an insightful perspective to the tea industry and set the stage for highly informative deliberations.
Shri S. Soundararajan, the Director of Tea Development at the Tea Board of India, provided an outline of ten domains that require attention in bridging technology gaps in the tea industry. These domains encompass crop harvesting, precision agriculture, weather forecasting, intelligent irrigation, innovative processing, quality management, traceability, market reach, consumer engagement, and sustainability initiatives. He additionally emphasized that certain technologies among these should become as ubiquitous as mobile phones are today.
One of the key sessions at the conclave centered around "Reimagining the Indian Tea Industry in Context of Global Changes." During this session Mr. Bijoy Gopal Chakraborty, President of the Confederation of Indian Small Tea Growers’ Associations (CISTA), used the conclave as a platform to advocate for equitable support for small tea growers. He urged NABARD to introduce specialized schemes akin to the 27 existing schemes for mainstream agriculture. He further emphasized the industry's struggle with persistently low market prices, the urgency of addressing the impacts of climate change on cultivation practices, and the menace of pest attacks that undermine yield and quality. Notably, Mr. Chakraborty advocated a paradigm shift, urging Bought Leaf Factories to prioritize quality over quantity when sourcing from small tea growers.
Anshuman Kanoria, the Chairman of the Indian Tea Exporters’ Association, made a compelling call for urgent government intervention to save Darjeeling tea. In a striking analogy, he likened Darjeeling tea to a patient in the ICU, highlighting the critical condition of the industry. Kanoria emphasized the need for financial support and legislative measures to regulate the import of tea from Nepal.
During the event, Shri Ajit Singh, Assistant General Manager of NABARD, proposed the Farmer Producer Organization (FPO) Model for collectivisation of the resources of the tea farmers. Singh elucidated NABARD's role in providing refinancing to various financial institutions, including regional rural banks and cooperative banks, which, in turn, fund farmers in the tea industry through diverse schemes. This mechanism seeks to infuse capital into the industry, fostering growth and sustainability.
Dr.Pranjib Kumar Chakrabarty, (former Spl Addl Secy and worked Member of ASRB, DARE, MoAF&W & former ADG (PP&B) ICAR, MoAFW), Chief Scientific Advisor, Dhanuka Agritech Limited expounded on on the Minimum Residue Level (MRL) requirement in the context of tea cultivation.
During the event, Mr. Pranav Bhansali, Managing Partner at Bhansali and Company, brought attention to the challenges stemming from limited payment realization due to geopolitical conflicts affecting traditional tea markets like Russia and CIS. He stressed the importance of diversification, suggesting that the industry should explore alternative markets such as the Middle East to reduce reliance on a few markets. In a similar vein, Mr. Mihir Gandhi, Co-founder of Cuppa Trade, advocated for leveraging technology to tap into non-traditional markets. He underscored the need for collaborative marketing strategies instead of isolated efforts, particularly in the evolving B2C landscape with teas like Bubble Tea gaining prominence. Mr. Gandhi emphasized the significance of targeted marketing endeavors to effectively promote this expanding array of tea offerings and in exploring ways of popularizing tea amongst the younger generation as a beverage.
A noteworthy presence at the event was exhibition stalls of members of the Tea Industry which attracted numerous delegates. This exhibition offered an opportunity for attendees to engage with and explore potential collaborations and interventions in the tea industry.
A Robust Knowledge Paper, "Reimagining Indian Tea Industry" was also released during the event by The Bengal Chamber in Association with BDO.
The conclave achieved remarkable attendance, with around 200 delegates from various segments of the tea industry participating. The event garnered extensive media coverage, further amplifying the urgency and significance of the discussions held.