The Tea Association of India (TAI) has urged the poll-bound Assam government to address concerns over an amended law granting land rights to plantation workers in tea estates. At the 37th biennial general meeting of the association's Assam branch, president Shailja Mehta welcomed the intent but highlighted administrative and legal complexities. She called for compensation on mortgaged lands and worker housing.
The Tea Association of India (TAI) has urged the government in poll-bound Assam to address concerns about an amended law granting plantation workers the right to land in tea estates. In February, the BJP-led state government amended the Assam Fixation of Ceiling on Land Holding Act, providing legal land rights to 3.5 lakh families in the labour lines of more than 800 tea estates.
Speaking at the 37th biennial general meeting of the association's Assam branch, TAI president Shailja Mehta welcomed the government's intent. However, she noted that many tea gardens have mortgaged their land as collateral for loans, potentially creating financial and legal complications. "The Land Ceiling Act applies only to land and not to company-built assets such as labour quarters. Adequate compensation should, therefore, be ensured under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013," Ms. Mehta said.
She highlighted ongoing statutory obligations under the Occupational Safety, Health, and Working Conditions Code, 2020, where management remains responsible for housing and welfare amenities. The association raised issues with labour code changes implemented in November 2025, noting that nearly 60% of tea production costs relate to labour, and urged full recognition of in-kind benefits in wage calculations beyond the 15% limit.
TAI also requested the release of pending subsidies under the Assam Tea Industries Special Incentive Scheme and expressed concerns over geopolitical tensions affecting key markets like Iran, Iraq, the UAE, and China, amid risks to the Strait of Hormuz. India's tea exports hit a record 280 million kg in 2025, generating ₹8,488 crore.
