Market for packaged tea down by 8.3 pc

CALCUTTA, FEB 14: The packaged tea market has dropped by almost 8.3 per cent, according to an operational research group data. The levy o...

CALCUTTA, FEB 14: The packaged tea market has dropped by almost 8.3 per cent, according to an operational research group data. The levy of excise duty on packaged tea imposed in June 1998 has led to the decline in the branded tea market for the period July to December 1998.

According to Tea Packeters’ Association of India (TPAI), consumers are being forced to shift from branded packaged teas to loose tea consumption.Tea Packeters’ Association of India, the apex body of the Indian manufacturers of packaged tea, in its continuous effort has once again petitioned the union finance ministry to withdraw the eight per cent excise duty on branded packaged teas in the union budget. Since tea is an item of mass consumption across all socio-economic classes, the excise duty has affected consumers across all income strata, says TPAI.

The imposition of excise duty has shown a negative impact on the mass consumption of packaged tea and the reversal of the duty will definitely help ease the burden of the inflation thatthe common man is already reeling under.

In recent times, various consumer activist groups have highlighted their concern for a possibility of adulteration of loose tea. The Consumer Guidance Society of India (CGSI) situated out of Mumbai has conducted an analysis of 25 loose tea samples, out of which 80 per cent of the samples were found to be adulterated and did not fulfill the statutory provisions laid down by the Prevention of Food and Adulteration (PFA) Act. The danger of adulteration at any of the several lakh outlets that sell loose food products across the country is real and apparent. Packaged tea is consistent in quality, unadulterated and hygienic according to the TPAI. This further ensures the guaranteed weight of tea as it is governed by the Packed Commodity and Regulations Order (PCRO), thus safeguarding the interests of the consumers.