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Tea auction platforms are self-sustaining: Ray

Mar 2, 2020, 14:54 IST
PTI
Kolkata, Mar 2 () Tea Board deputy chairman Arun KrRay on Monday said functioning of auction systems across thecountry at six centres is self-sustaining and the cheapestamong other e-commerce platforms.

Ray's comments came in the light of Tea Board chairmanP K Bezbaruah recent comments that it is time for thestatutory body to disassociate itself from the functioning ofthe auction system and just remain a licence provider.

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Bezbaruah had also suggested that the running of thesystem should be in the hands of financially capable privateparties and not Tea Board.

"We charge a total of six paise per kilo from thesellers, traders and buyers for running the auctioningplatform. At this price point, it is the cheapest platformand also self-sustaining in nature", Ray told .

He said, "There is no cost to Tea Board and thesellers are coming voluntarily".

The software for the auction platform has beendeveloped by NSE.IT. "We have moved the auction platform tothe cloud," he added.

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Ray said, "If the Tea Board withdraws from theauctioning system, then no private player will be able to runthis kind of platform at this price point, that too based oncloud technology, and the entire system will collapse".

IIM (Bangalore) had been roped in to make the auctionplatform more robust and user friendly, he said.

Around 47 per cent to 48 per cent of the tea producedin the country comes to the auctions at six centres inKolkata, Guwahati, Siliguri, Coimbatore, Coonoor and Kochi.

"The basis of the rationale of the auction system isto provide an avenue for sale of the produced teas. If TeaBoard withdraws, then a vacuum will be created", Ray said.

The Jorhat auction centre, which will be operated by aprivate party 'mjunction', is yet to start operation. Therules and guidelines have been given by Tea Board, Ray said. dcMM MM

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