President urges industry to reclaim ‘Ceylon Tea’ status globally

President Gotabaya Rajapaksa 

• Reviews number of proposals, says holistic approach needed to develop tea industry
• Mulls hand-over of loss-making plantation companies to tea smallholders as pilot project
• Basil highlights need to provide relief to tea growers to engage in self-employment until tea plants reach yielding stage 
• Experts stress on prioritising research and development, pursuing new markets

President Gotabaya Rajapaksa called on stakeholders to reclaim the status enjoyed by ‘Ceylon Tea’ in the global market, while identifying the factors contributed to its downfall in recent years.

He made these remarks at a meeting on Monday to discuss future activities of the Company Establishment Reforms, Tea Estate Crops, Tea Factory Modernisation and Tea Export Diversification State Ministry.

Experts in the sector pointed out that long-, medium- and short-term plans should be implemented after scrutinising loss-making estates, to increase tea exports and revenue. The President stressed that the tea industry, which has suffered a severe setback, should be revived based on a holistic approach, while emphasising the need to strengthen plantation management and supervision.

It was noted that 10 out of 20 major plantation companies are inoperative, and that the production capacity of plantation companies has been declining rapidly, while the small tea estates achieve higher production. 

The President directed the officials to identify causes for losses and inactivity of these companies within a short period of time, and to find permanent solutions for these issues. It was decided to hand-over loss-making plantations companies to the tea smallholders as a pilot project.

“Losses at plantation companies should be thoroughly investigated in a context of where the infrastructure facilities including roads, hospitals, schools and sanitation have been provided by the government,” Presidential Task Force on Economic Revival Chairman Basil Rajapaksa said.

The need to rehabilitate tea estates and regularise cultivation to produce higher yields was discussed at length. The Presidential Task Force on Economic Revival Chief pointed out the need to provide reliefs to tea growers to engage in self-employment or other livelihoods until the tea plants reach the yielding stage.

Experts believe that the setback in the tea industry is caused due to ignorance of the findings made by research in the field. They highlighted the requirement of prioritising research developments and pursuing new markets for the product. Attention was also paid to the possibility of expanding the bio-tea industry and securing a better profit from its high demand in the world market.

Representatives from the small tea estate sector commended the President for the decisions taken during the curfew period amidst the arrival of the COVID-19 pandemic, which protected nearly 421,000 small tea estate owners across the country.

Plantation Minister Ramesh Pathirana, Company Establishment Reforms Tea Estate Crops Tea Factory Modernisation and Tea Export Diversification State Minister Kanaka Herath, Secretary to the President Dr. P.B. Jayasundera, Secretaries of the Cabinets and State Ministries, officials of the line institutes, representatives from the tea estate owners and planters were present at the discussion.