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Regular-article-logo Friday, 22 November 2024

Tocklai Tea Research Association eyes profit model

TRA secretary Joydeep Phukan says the organisation needs to take a more aggressive path towards revenue generation

Roopak Goswami Guwahati Published 19.02.19, 07:32 PM
The TRA director’s office in Tocklai.

The TRA director’s office in Tocklai. The Telegraph picture

The Tea Research Association (TRA) is taking aggressive steps to increase its revenue and become a profit-making organisation.

The organisation, with its research headquarters at Tocklai Tea Research Institute, Jorhat, is the oldest tea research organisation in the world.

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“Currently our non-subscription revenues are Rs 3.5 crore and we too need to take a more aggressive path towards revenue generation. Advisory services, analytical services, training, sustainability certification, seminars and exhibitions, overseas collaborations, bio-products, speciality teas, product development through start-ups, online services, tourism opportunities at own locations will be the starting point towards a more aggressive revenue generation,” TRA secretary Joydeep Phukan told The Telegraph.

He said the total budget is Rs 30 crore, of which Rs 19 crore comes from the industry, Rs 3.5 crore from its own revenue while the share of the government has been declining over the years.

He said the organisation needs to go out of the thought process of non-profit organisation and become a profit-making one in the long run. “With 11 branches across eastern and northeastern India, a young, vibrant force of co-workers and a corporate through process, increasing our non-subscription revenue 10-fold within 10 years should be our target, which is easily achievable,” he said.

Phukan said the financial support from the Centre has drastically reduced over the last few years with an ultimatum that in the future there would be minimal support. Senior scientists have been retiring and the cost of employment has gone up.

He said the TRA is a unique organisation which was set up by the industry for finding sustainability solutions for the industry. The industry is currently going through a host of problems from pest attacks, low productivity, quality issues, climate change and higher cost of production vis-à-vis lower price realisation to sustain the industry.

“In this scenario, the importance of the TRA is crucial for the industry to find real-time solutions to its problems and vice-versa. It is also crucial for small tea holders of Assam and Bengal to work closely with the TRA to ride the value chain and ensure long-term sustainability. Therefore, for both segments, TRA is the convergence point for long- term sustainability which is the start of a promising times ahead. Irrespective of the governments, funding from it’s agencies will be low as the mantra is earn or perish. We have seen organisations like Ficci, which from a modest earnings of Rs 3 crore reached Rs 110 crore in 15 years by embracing aggressive policies,” he said.

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