Government of Tamil Nadu
Micro, Small and Medium Enterprises Department
Commissionerate of Industries and Commerce
தொழில் வணிக ஆணையரகம்

A.Industrial Cooperative Tea Factories:


There are around 63,000 small tea growers in Nilgiris District cultivating tea in an area of 30,000 hectares. Initially, the small tea growers were supplying green leaf to bought leaf factories at low price. In order to uplift the tea growers, the Government of Tamil Nadu decided to promote Cooperative movement among them. With the establishment of the first Industrial Cooperative Tea factory at Kundah in 1962, these small tea growers were able to realise a better price for their green leaf. Now, 15 ICTFs with the members of 25,393 are working in this district. They are producing 210.00 lakh kgs of made tea every year, contributing 19% of the total production of made tea in this district.
The Government released a sum of Rs. 11.20 crores as support price to the member growers of Industrial Cooperative Tea Factories in Niligiris District for their green leaf supplied during 2011-12 and the amount was disbursed to more than 14,000 grower members. Similarly, a sum of Rs.6.00 crores have been released for the same purpose during 2012-13.
With a view to fulfil the long time demand of Small Tea Growers of Nanjanad area of Nilgiris District , the Government have announced setting up of a new Industrial Cooperative Tea Factory at Nanjanad at a  total project cost of Rs.5.00 crore and it was inagurated by the Honble Chief Minister of Tamil Nadu in December 2017.

The performance of the Indco tea factories for the past years  are furnished below :

 


Year
No of Tea Factories

Total Production (Rs.in lakh)

Total Sales
(Rs in lakh)

No of Profit Tea Factories

No of Loss Tea Factories

2012-13

15

14009.16

14055.22

15

0

2013-14

15

14211.86

13346.07

9

6

2014-15

15

10317.44

9822.58

1

14

2015-16

15

10237.43

10183.45

9

6

2016-17

15

12919.73

12501.44

10

5

2017-18
(upto 30.11.2017)

15

12057.03

6628.50

1

14

 

B. INDCOSERVE

The Central organization of   the 15 Industrial Cooperative Tea Factories is called INDCOSERVE (The Tamilnadu Small Tea Growers Industrial Cooperative Tea Factories Federation Ltd.). Today, the INDCOSERVE has become the  largest business organization in the country.
The INDCOSERVE provides various services  to the Indco Tea Factories such as  warehouse facilities at Coonoor, Coimbatore and Cochin, supply of fertilizers,  supply of jute bags for packing of teas, machinery spares, and other inputs to the small tea grower/members through the Indco Tea Factories besides helping to market the teas of the factories to their best advantage. INDCOSERVE  also  provides financial support to the member Indco Tea Factories. It is selling Ooty Tea through Public Distribution System in the State.
In order to increase the sale of Ooty tea through PDS, the Hon’ble Chief Minister has launched the sale of Ooty Tea in 250 gms pouch and selling of Ooty tea through Avin outlets on 4.1.2013. During 2013-14, the Indoserve has achieved the highest sale of Ooty Tea to the Quantity of 5084 MTs under PDS. This could be made possible because of the various measures taken by this Government.
The performance details of Indcoserve are given below:-
                                  (Rs. in lakh)

Sl.
No.
Details   2013-14

2014-15

2015-16

2016-17

2017-18 (upto 30.11.2017)

1.

Tea sales to PDS.

5073.86

4290.71

4533.99

3884.11

2034.96

2.

Tea sales to Defence

0.00

0.00

0.00

0.00

0.00

3.

Direct sales/H form sales

0.00

0.00

0.00

0.00

0.00

4.

Other sales

4.66

4.67

6.26

2.66

0.00

5.

Sale of input materials

0.00

110.00

158.64

102.45

36.33

6.

Warehouse and Workshop income

158.56

153.45

137.58

108.65

75.38

7.

 Total

5237.08

4558.83

4836.47

4097.87

2146.67

8.

 Profit for the year.

62.19

87.25

124.33

90.91

483.31

9.

Cumulative loss/profit

62.19

87.25

124.33

90.91

483.31

 

C. TEASERVE

In search of a transparent and better price discovery mechanism for primary marketing of tea, the Government accorded permission for setting up of an Electronic Auction Centre vide G.O.Ms No.36, Small Industries Department, dated 16.07.2002.  Accordingly, the new Industrial Cooperative Society in the name of TEA MANUFACTURERS SERVICE INDUSTRIAL COOPERATIVE SOCIETY LIMITED popularly known as "TEASERVE" was Registered on 28.08.2002 and commenced its business on 3.9.2003.  However, it commenced its regular auction on the sale of made Tea with effect from 1-10-2003.
The performance details of the Teaserve from the inception are stated below:-

 



Year
Qty Sold (in lakh Kgs)

Qty Sold in Value 
( Rs in Lakh )

Net Profit / Cumulative Loss
(Rs in Lakh)

2012-13

170.88

14578.74

(+) 8.80

2013-14

167.38

13772.59

(+) 22.20

2014-15

175.88

9848.93

(+)12.77

2015-16

154.54

9719.50

(+) 5.20

2016-17

131.13

11615.48

(+)1.43

2017-18 (upto 30.11.2017

88.72

6092.44

(+)0.60

 

INDCO TEA FACTORY