Strengthening Tea Smallholders Sector: Challenges and Solutions
Report of the
Report of the
Working Group on
Working Group on
Tea Smallholders
Tea Smallholders
Smallholders have a prominent
place in tea sector. Small holders
constitute 73% in Sri Lanka, 60% in
Kenya, 47% in Indonesia and 36%
in India.
Core issue affecting the small holders
globally is the price realisation.
Experience of countries like Kenya,
Sri Lanka etc in establishing small
grower authorities have not helped
in better price realisation.
In most countries, quality is an issue that
needs to be addressed. More and more
countries and large players are insisting on
certification and therefore small holders too
have no option but to fall in line. While
certifying agencies ensure that the growers
follow all statutory norms, adhere to the
safety standards, pay the minimum wages
prevailing in that region to the workers etc.,
there is no guarantee that they help in getting
at least cost of production to the producers
In order to strengthen the small
grower sector, it was felt necessary
to have an organised International
set up and in that direction
formation of Confederation of
International Tea Small holders
(CITS) was mooted.
The Working
The Working
Group on Tea
Group on Tea
Smallholders
Smallholders
E
E
stablishment of
stablishment of
a
a
C
C
onfederation
onfederation
of International
of International
Tea Smallholder
Tea Smallholder
(
(
CITS
CITS
)
)
Direction and
Direction and
supervision of
supervision of
FAO /IGG on
FAO /IGG on
Tea
Tea
I
I
nvolvement of
nvolvement of
the producing
the producing
countries’
countries’
governments
governments
S
S
upport of
upport of
“T
“T
ea
ea
B
B
oard
oard
s”
s”
and
and
“
“
T
T
ea
ea
F
F
armer
armer
Association
Association
s
s
"
"
as a prospective
as a prospective
member
member
s
s
Establishment of CITS
Establishment of CITS
Proposed Goals of CITS
Proposed Goals of CITS
1.
Forum for the development of policies and solutions to strengthen the global
tea
smallholder
sector.
by acting as a convener, catalyst and source of reference, so as to improve the
consistency of
tea
policy-making on a global level.
2.
Market access.
To enhance market accessability by providing statistics, research studies and other
information on the world
tea
economy, thereby reducing transaction costs to the
benefit of all components of the
tea
supply chain and enabling economic decisions to
be taken on the basis of accurate and timely data.
3.
Development of communications, public outreach and dissemination of
knowledge.
To encourage the development of communications, public outreach and dissemination
of knowledge on the world
tea
economy, through project activities, microcredit
programmes, workshops, training, and other forms of knowledge sharing; and seeking
finance for these activities.
4.
Sustainable
tea
smallholder
sector.
To promote the development of a sustainable global
tea
smallholder
sector, thereby
contributing to its environmental sustainability, as well as generating increased income
and employment, and improved living standards and working conditions in Member
countries.
Council
Secretariat
Promotion &
Market
Development
Committee
Finance &
Administration
Committee
Statistics
Committee
Project
Committee
International Tea
Smallholder
Conference
Consultative
Forum on Tea
Smallholder
Sector Finance
Office of Executive
Director
Operation
Division
Administration
Division
Economics
Statistics
Finance & IT
Council
Secretariat
Personnel &
Office
Management
Proposed Organizational
Proposed Organizational
Structure of CITS
Structure of CITS
Proposed Secretariat Sructure
In order to take forward the
proposal, the support of a
consultant is necessary.
The issue need to be
addressed in this regard is
funding
Consultant should assist in
developing a marketing arrangement
with the help of producers’ and
consuming countries’ associations
involved in tea matters to market the
teas of small grower sector directly
Thank You
Tea smallholders play a crucial role in the global tea sector, facing challenges like price realization and quality standards. Efforts such as the Confederation of International Tea Smallholders (CITS) aim to address these issues by providing a platform for policy development, market access, communication, and sustainability in the smallholder sector.
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Presentation Transcript
Report of the Working Group on Tea Smallholders
Smallholders have a prominent place in tea sector. Small holders constitute 73% in Sri Lanka, 60% in Kenya, 47% in Indonesia and 36% in India.
Core issue affecting the small holders globally is the price realisation. Experience of countries like Kenya, Sri Lanka etc in establishing small grower authorities have not helped in better price realisation.
In most countries, quality is an issue that needs to be addressed. More and more countries and large players are insisting on certification and therefore small holders too have no option but to fall in line. While certifying agencies ensure that the growers follow all statutory norms, adhere to the safety standards, pay the minimum wages prevailing in that region to the workers etc., there is no guarantee that they help in getting at least cost of production to the producers
In order to strengthen the small grower sector, it was felt necessary to have an organised International set up and in formation of Confederation of International Tea Small holders (CITS) was mooted. that direction
Establishment of CITS Direction and supervision of FAO /IGG on Tea Support of Tea Boards and Tea Farmer Associations" as a prospective members Involvement of the producing countries governments The Working Group on Tea Smallholders Establishment of a Confederation of International Tea Smallholder (CITS)
Proposed Goals of CITS 1. Forum for the development of policies and solutions to strengthen the global tea smallholder sector. by acting as a convener, catalyst and source of reference, so as to improve the consistency of tea policy-making on a global level. 2. Market access. To enhance market accessability by providing statistics, research studies and other information on the world tea economy, thereby reducing transaction costs to the benefit of all components of the tea supply chain and enabling economic decisions to be taken on the basis of accurate and timely data. 3. Development of communications, public outreach and dissemination of knowledge. To encourage the development of communications, public outreach and dissemination of knowledge on the world tea economy, through project activities, microcredit programmes, workshops, training, and other forms of knowledge sharing; and seeking finance for these activities. 4. Sustainable tea smallholder sector. To promote the development of a sustainable global tea smallholder sector, thereby contributing to its environmental sustainability, as well as generating increased income and employment, and improved living standards and working conditions in Member countries.
Proposed Organizational Structure of CITS Council Secretariat Promotion & Market Development Committee International Tea Smallholder Conference Proposed Secretariat Sructure Finance & Administration Committee Office of Executive Director Consultative Forum on Tea Smallholder Sector Finance Operation Division Administration Division Statistics Committee Personnel & Office Management Council Secretariat Project Committee Economics Finance & IT Statistics
In order to take forward the proposal, the support of a consultant is necessary. The addressed in this regard is funding issue need to be
Consultant developing a marketing arrangement with the help of consuming countries involved in tea matters to market the teas of small grower sector directly should assist in producers and associations
