KOLKATA: KPMG has begun the evaluation of the Centre’s schemes for the tea sector during the 12th plan period which will end in March 2017, as part of an exercise to get the schemes reviewed by a third party.
It has already held talks with stakeholders in the various tea producing states, it was learnt and will also collect written representations. The aim of the exercise is to check the efficiency of the schemes and to gauge the extent to which it has served its purpose. The plan not only started late but also contained clauses that affected utilisation of some important schemes.
Increasing productivity through replantation, quality upgrades through value addition, market promotion and plantation workers welfare were the focus areas of the plan which was announced in May 2015, a few months after the BJP government assumed power, but three years into the plan which commenced in April 2012.
The Rs.1,425 crore plan also allotted a substantial amount for small growers’ development as they now contribute more than 35 per cent of India’s tea output of about 1,200 million kg. The plan envisaged hiking subsidy on various schemes too.
However, a substantial part of the Rs.350 crore plan for quality upgrades may well return non-utilised as a 20 per cent export clause had resulted in the scheme getting very few applications. “ Very few units export 20 per cent of their output and most of this fund will now return unused,” an industry source said. This was admitted by a commerce ministry official too.
