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Assam govt announces generous subsidy for tea industry

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GUWAHATI: Assam government has announced subsidy worth about Rs 200 crore to provide relief to the state’s tea industry which was hit hard by COVID19 lockdown and also to promote production of more export-quality orthodox tea.

Making an announcement in this regard, State Finance Minister, Dr Himanta Biswa Sarma urged the tea industry to reciprocate the generous gesture of the state government by paying puja bonus at 20 per cent all tea workers.

The subsidy schemes announced by the state Finance Minister include:

  • Three per cent interest subvention per year on working capital loan taken by the tea companies from bank with a cap of Rs 20 lakh per company.
  • Subsidy of Rs 7 per kg of made Orthodox tea manufactured in Assam. Already Tea Board provides subsidy of Rs 3 per kg Orthodox tea made in the state. So, altogether a combined subsidy of Rs 10 per kg of Orthodox tea will be available now.
  • Twenty-five per cent subsidy for setting up Orthodox tea manufacturing plants and machines in the state.
  • Three-year holiday on payment of agriculture income tax by the tea industry effective from this financial year.

The state Finance Minister infirmed that Assam Government will have to spend about Rs 200 crore for providing above relief to the state’s tea industry.

He said as Orthodox tea has good demand in the overseas market, the state government t wanted the tea industry to produce more volumes of orthodox tea for better profit.

 

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