Assam Bought Leaf Tea Manufacturers Association announces indefinite shutdown over pesticide concerns

The Assam Bought Leaf Tea Manufacturers Association (ABLTMA) has announced the indefinite shutdown of over 200 bought leaf tea factories from June 1 due to excessive pesticide use by small tea growers. These factories are integral to the state's tea industry, purchasing green tea leaves from growers without production units and processing them into finished tea.

Chand Kumar Gohain, president of ABLTMA, stated on Tuesday, "Some small tea growers are using banned pesticides on raw leaves, exceeding the permissible limits set by the Tea Board of India. The high pesticide levels in these leaves have led to buyers being reluctant to purchase the dried tea, resulting in significant financial losses for us. Despite appealing to the state and central government and the Tea Board of India for a solution, no viable alternative has been provided. This situation has forced the ABLTMA to take this drastic step."

The decision is expected to have a considerable impact on the tea industry in Assam, where these factories play a crucial role in overall tea production.

The ABLTMA refuted claims from the All Assam Small Tea Growers' Association that the factory closures aim to reduce raw leaf prices for small growers. The association clarified that the prices are set by the Tea Board of India based on a price-sharing formula.

In December 2023, the Tea Board of India issued a directive prohibiting the use of chemical pesticides not labeled for tea, while the Food Safety and Standards Authority of India banned 20 insecticides. This regulatory backdrop underscores the urgency and rationale behind ABLTMA's decision to halt operations.