Tea Board should continue to fund auction system: CTTA

Kolkata, Feb 21 () Calcutta Tea Traders'Association (CTTA) on Friday said that Tea Board shouldcontinue to fund the auctioning system in six centres in thecountry till an alternative mechanism is put in place.

Nearly 600 million kg of tea is being handled annuallyin the six auction centres at present, CTTA secrtary JKalyansundaram said.

"These centres use the NSE.IT platform which iscompletely funded by Tea Board. If the board decides to stopfunding the auctioning system, there will be a sudden vacuumwhich the tea industry cannot afford to have," Kalyansundaramtold .

CTTA oversees the auctioning system in the Kolkatacentre.

Recently, Tea Board chairman P K Bezbaruah said thatthe government should stop funding the auctions and privateparties with sound financial capabilities should be encouragedto come forward.

"The operating expenses of the auctions are now borneby the Tea Board. It charges two paise per kg of tea sold fromthe buyers, brokers and sellers to recover a part of thecost," Kalyansundaram said.

He said there is no question of going back to themanual auction system.

"The existing platform is functioning properly andshould not be shut down. If the board withdraws its financialsupport, the industry has to come forward. Things should notcome to such a situation," Kalyansundaram said.

The NSE.IT platform is running at the Kolkata,Guwahati, Siliguri, Cochin, Coonoor and Coimbatore auctioncentres.

The only private platform floated by mjunction atJorhat in Assam is yet to start functioning, he said.

"Currently, at least 48 sales per year take place ateach of the auction centre," he added. DCBDC BDC