|
|
 |
 |
 |
| Thursday, 24 June 2004 |
 |
|
 |
Business | |
| News Business Features Editorial Security Politics World Letters Sports Obituaries
|
Tea promotion vital to maintain competitive edge over rivals - Niraj de Mel by Steve A. Morrell Tea promotion is vital if we have to maintain a competitive edge over our closest rivals in the global supply of tea and its marketing. There has to be improvement in standards at production points if Sri Lanka is to recapture leader status in the 'Ceylon Tea' genre, and quickly too, said Niraj de Mel, the new Chairman of the Tea Board, in an interview with the Daily News last week. He was particularly critical of standards of manufacture in bought-leaf factories in general, and said that in most instances factory staff were ignorant of basic requirements of hygiene, and by and large the 'food factory' standards were ignored. Most disconcerting was that all these bought-leaf factory owners were more concerned with turnover and quickly paying back their loans rather than adhere to routine standards of manufacture. "Some factory staff even questioned the need for grading and wanted to know if this was necessary," he said. These were the shocking revelations that he learnt 'first-hand' while touring the tea districts. Before his appointment as Chairman, Tea board, he had wide experience in the tea trade, first as a tea broker, and later was exposed to the trade abroad. He has therefore imbibed an overview of the "Tea" requirements worldwide and has excellent credentials to lead the Tea Board, at a time when the industry is faced with many problems both locally and abroad. Till his appointment, he was CEO of the Tea Association of Sri Lanka, "All stakeholders will have to be involved in tea promotion", he said. This will be the future direction of the Ministry of Plantation Industries, and as the Minister said to most industry audiences he addressed recently it was now imperative that each section of the Tea Industry generates its own funds to be effective and competitive globally. The Rs. 2.50 tea cess collected on every kilo of tea sold, generated approximately Rs. 750 million annually, which was equally diverted to the TRI, (for research) the Tea small holdings Development Authority, (for small holder development) and the Tea Board, (for promotion). The Tea Board allocation was grossly inadequate if promotional work was to be intensified locally and abroad to meet the challenge of other beverage giants, beer, bottled water, soft drinks, coffee, and carbonated soft drinks, he said. It is therefore time that all stakeholders unite to promote 'Ceylon Tea', as part of an intensified promotional drive, rather than work in compartmentalised, singular entities, he said. Collective sales promotion will be effective and have a more positive impact under the common banner of the 'Lion', logo, which has traditionally been recognised as the '?eylon Tea', symbol, he said, which still commands respect on retailer shelves. However, this situation is changing rapidly, and buyer preferences have shifted from 'Ceylons', to Kenyans, Malawis and South Africans. "At the recent Tea-Buyer destinations show tea from Kenya, Malawi, and even Papua New Guinea, are more in demand now than 'Ceylon' tea, de Mel said. These challenges, coupled with the strong 'glamour drink' image of coffee, which is now sold in the US not as coffee, but "Starbucks" has further eroded the 'Lion' image and continues to be a worrying influence. To counter these handicaps, de Mel, had some imaginative, yet simple and cost effective schemes he said he would work on. One was that every visitor to our land is welcomed at the Airport with a steaming cuppa and a warm Sri Lankan smile, and told, "Like another cup? its free, welcome to Sri Lanka". "That sort of image building will go a long way to promote the beverage and re-capture its market share", he said. The hotel trade would also be mobilised to improve the brew they serve, and persuaded to serve tea in traditional style. The stakeholders will now have to accept that a combined funding effort will have to evolve to project a stronger image for Ceylon tea. It was premature to specify the Minister's thinking on the subject, because he had in mind an overall plan to revamp the industry having first addressed the grey areas which needed immediate attention. |
|
News | Business | Features
| Editorial | Security
Produced by Lake House |
