Wednesday, 4 February 2004  
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State tea bombshell

by Prasad Gunawardena

All government controlled tea institutions are to be privatised shortly, well informed sources told the Daily News yesterday.

They include the Sri Lanka Tea Board, the Tea Small Holdings Development Authority, the Tea Research Institute (TRI) and the National Institute of Plantation Management.

When contacted Director, Tea Research Institute, Talawakele, Dr. S. Gunewardena confirmed that all government controlled tea related institutions are to becommercialised shortly under a restructuring program funded by the Asian Development Bank - Tea Development Project,

Dr. Gunawardena said yesterday that local and foreign consultants were now in the process of mapping out strategies of the restructuring program.

Asked whether these institutions are to be privatised under the ADB funded project, Dr. Gunawardana said, "Some areas under these institutions may be projected for commercialisation," he added that it would be done within the existing framework of the institutions.

Meanwhile the Daily News learns that a British company has already completed a report with regard to the restructuring of the TRI.

Sources at the TRI said they feared the 'restructuring' program as it may prune down the existing staff.

"We need more staff but privatisation will not help to meet the demand," they lamented.

Sources said the authorities should involve persons who were knowledgeable in the industry to work with foreign consultants when reports were being prepared.

They urged the Plantation Ministry to consult experts in the tea industry for the proposed restructuring program.

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