Debt relief for small coffee growers soon

India's News.Net
Wednesday 4th November, 2009 (IANS)

The commerce and industry ministry will soon come out with a debt relief package for small coffee growers, according to Minister of State for Commerce and Industry Jyotiraditya M. Scindia.

'We are looking at debt relief for the full plantation sector,' Scindia told reporters on the sidelines of a seminar organised by Bharat Chamber of Commerce here Wednesday.

'Coffee growers have been going through very difficult times, so debt relief is something we are currently considering for small coffee growers,' he added.

Scindia, however, did not mention the corpus of the fund.

A package for the tea industry has already been announced.

'We have given close to Rs.600 crore to the Tea Board over the Five-Year Plan (ending 2012) for technological upgrade of tea plantation, special purpose tea fund for rejuvenation and replantation, (and) marketing across the board,' the minister said.

Along with debt relief, Scindia said issues pertaining to social costs borne by tea companies would be addressed through another package.

'There are other issues that need to be addressed like social cost. It is within our ambit and we are looking into it,' he added.

Social costs include construction of houses, maintenance, drinking water facility, sanitation and medical facility for workers in the plantation sectors.

According to a recent study done by the Indian Tea Association that represents tea plantation companies, social cost accounts for Rs.7 for every kg of tea produced.

Email this story to a friend

Have your say on this story