The Assam government had in August informed the Centre that the financial instability in the company’s gardens threatens to trigger labour unrest.
Union Minister H D Kumaraswamy will visit tea gardens owned by public sector enterprise Andrew Yule to address the hardships of the workers.
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Kumaraswamy expressed his intention to visit Assam by October to look into a certain resolution for reviving the gardens. Furthermore, he announced that the tea garden workers will get a 20 per cent Durga Puja bonus, likewise the workers of other gardens.
Earlier, the Assam government had sent an SOS to the Centre asking for financial relief for Andrew Yule & Co. Ltd.
Assam Chief Secretary Ravi Kota in a letter to Kamran Rizvi, Secretary to the Ministry of Heavy Industries on August 24 informed that these gardens are crucial to over 8000 workers and their families. He added that the financial instability threatens to trigger labour unrest and other issues in tea gardens.
“ The ongoing financial instability threatens to trigger labour unrest, escalating the risk of law- and-order issues in these tea gardens. Already, delayed payments and statutory dues have led to frequent demonstrations, “ Kota wrote.
He said the company faces several challenges, including significant crop losses due to fungal and caterpillar infestations, rising wage costs, and a depressed tea market in 2023-24. These factors contributed to a ₹99.72 crore loss in 2023-24. Despite an infusion of ₹83 crore over the past two years, the company's credit rating downgrade has restricted further financial support from banks.
“Given the severity of the situation and its potential impact on Assam, I urge your intervention. Possible measures could include a soft refundable loan, asset monetization, or liquidating government holdings. Government of Assam is deeply concerned about the potential repercussions and seeks your prompt support in addressing this critical issue,” the letter said.
Kumaraswamy, talking about his plans for the industrial sector, pointed to the recent visit to the Cement Corporation of India Ltd factory in Bokajan, Karbi Anglong said that there is a plan to revive the cement industry in the region with an investment of ₹ 700 crore. Additionally, he discussed the expansion of the Faster Adoption and Manufacturing of Electric Vehicles (FAME) policy in Assam with an investment of over ₹ 2000 crore for battery charging stations and plan to purchase 18000 e-buses across the country.
