Consumer awareness in the tea sector is fast catching up as transparency and traceability become key issues in sourcing. This has forced all major tea factories in India to go for certifications such as Trustea and Rain Forest Alliance (RFA) as the Tea Board comes up with initiatives to promote sustainability in Indian tea plantation sector.

Harrisons Malayalam Ltd (HML), part of the RP Sanjiv Goenka group, has become the first tea company to bag both these certificates in all of its factories, says N Dharmaraj, Wholetime Director and CEO. Edited excerpts:

Going forward, how will these certifications benefit HML?

With the certifications in hand, HML becomes a reliable supplier of tea in both the domestic and overseas markets. It is now capable of supplying a certified product that is safe and produced in an ethical and sustainable environment.

Today, the company produces 5,000 tonnes annually, which includes CTC, orthodox, green and white tea under various brand names from regions such as Munnar, Peermedu, Wayanad and the foothills of the Nilgiris.

The company also exports 1,800 tonnes a year both in bulk and packaged form to as many as 20 countries.

The strict adherence to EU guidelines on plant protection residue limits and for heavy metals will also help us in scaling new heights in this competitive environment. Moreover, the adoption of good agricultural practices like zero tillage, use of cover crops, regular soil and water conservation methods will ensure that sustainability in our plantation operations is maintained.

How do you propose to tap the domestic and overseas markets in the new environment?

It is a pre-requisite for the certified teas to conform not only to FSSAI (Food Safety and Standards Authority of India) codes but also the EU guidelines on plant protection and heavy metal residue.

HML believes that such teas, which are a combination of superior quality and high standards in product safety backed by traceability and production under ethical sustainable conditions, will contribute to product differentiation. We are expecting a 30 per cent rise in exports from our current level of 1,800 tonnes.

How are these certifications going to benefit the company’s workforce?

We have always maintained high standards in terms of amenities provided for the workforce. These certifications will improve the system discipline in such matters. The workforce is also enthused by the accreditations, since they have been an integral part of the journey.

HML is also supporting the local livelihood of small tea farmers, supporting their farms with technical advice and supply of materials, transparency in pricing, supporting the management of their farms, improving quality and quantity and bringing them within the certification net.

How do you compare the corporatised plantation model with the rural agricultural scene in India?

The corporatised plantation model must be seen against the bitter experience of fragmentation in rural agriculture, unhealthy agri-practices and poor social and economic conditions.

This has particularly led to the disintegration of social quality of life, especially in the less developed parts of the country.

Of late, the tea industry is passing through a crisis with price fluctuation and other issues. What is your take on this?

The South Indian tea industry has been impacted by low prices and high cost of production. This region exports 40 per cent of its annual production of approximately 230 million kg of tea as against 15 per cent (of annual production being exported) in the case of North India.

Increasing the exports is critical to shore up the price line of the south Indian teas. This has to be done through a combination of quality improvement initiatives by the producers and with trade support from the government.